IMO, the entire iPad product line is overpriced in today's market. So my guess is that the next update will include a $100 price drop ($399 iPad/$299 Mini) OR keeping the same price but losing the 16GB models in favor of 32GB.
Only price drop I would like to see is the cost of memory. Memory is cheap and Apple should be packing these devices with 64gb at a minimum with as much as 128 or even 256gb for a little more. Either that or give use a SD slot!
A lot of folks like to tout Apple as a niche premium brand company. That's true with Macbooks, iMacs and at it's new price point, the iPod Touch. But if they are looking for mass sales in a potentially competitive environment, it's going to be much more sensitive to price than those products.