If it was, then as some people have said, it would beat its big brother in terms of ppi.
I understand what you are saying, but if the iPad mini w/ RD ends up with ~324 ppi and the current new iPad w/ RD has 264 ppi, are people really going to skip the 9.7in and get the 7.9in iPad just for the ppi? At a certain point, it doesn't matter. The larger iPad will always have the better CPU and GPU, the larger screen, they can make sure it has more storage space...etc. to make up for the price difference. There are many ways to differentiate them.
No dealbreaker when the iPad 1 & 2 came into this world because there was then no retina screen. Now there is a retina screen, and that makes screen of the iPad mini a sub-optimal screen, compared to other existing screens, that is. I think it can be this simple.
Exactly. iPad 1 and iPad 2 were the standard tablets and there was no "standard" of RD in tablets. Apple has now set that standard and everything else is a compromise (whether cost, battery, supply...etc.).
"sub-optimal" does not make a dealbreaker for many...it's the people here who "decree" that that screen is a "dealbreaker for all" that is the problem..It just is not....
I don't think anyone is saying it is a "dealbreaker for all." Just that it isn't optimal and is a compromise. Each person needs to decide for themselves if they can deal with a pixelated screen.