Sure - but the N7 screen is noticably worse than the iPad 3 screen. Apple also prides itself on the display quality - why would they NOT be the best out there as they have been with each product they make?
1280x960 is also a pretty arbitrary resolution in that it doesn't match cleanly with the iPad's other resolutions. Either they figure out how to find a middle ground between the iPad 2 and 3 or they mail it in and got with the crappy 1024x768....which will lose my purchase.
Not that it's that important to me - lol I just want one as a toy. I do sometimes wish my iPad 3 was smaller but that screen won't let me use any other tablet.
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Surface RT won't hurt iPad sales in the slightest....Android tablets should be worried though. Their market share will get eaten up.
Apple with about 65-70%
Android with about 15-20%
MS with 10-15%
You should note one thing... Highest screen resolution =! best display. Is there one thing the iPhone 5 display has proven to the market it has to be the fact that even though it doesn't have the largest screen, it doesn't have the highest PPI any more, it doesn't feature any kind of fancy AMOLED panel, yet it's by far the best and most impressive display panel og any mobile device to date from a professional point of view due to it's excellent colour gamut and near perfect colour calibration right out of the box.
I for one hope Apple focus more towards providing high colour gamut display with fantastic colour calibration and good PPI instead of going all overboard on the PPI and forgetting about all the other aspects making a display good.