Mike Pomeranz: Apple CEO Steve Jobs announced the release of the iPad 2 this afternoon. Jobs' appearance came as a surprise after he took a medical leave of absence in January. The new iPad is going to be lighter than the original, offer front and rear facing cameras, and it's going to offer a faster processor. With a new iPad on the horizon, some Apple users are probably ready to drop now a couple hundred bucks to upgrade.
Julie Nelson: But some experts say devices like the iPad could be free one day. Here's KARE 11's Kyle Porter.
Kyle Porter: Apple kept all of us hanging this week . . .
Male 1: I know there's again rumors.
Kyle Porter: . . . about the unveiling of their iPad 2. That day is today.
Steve Jobs: 33% thinner. That's what it looks like.
Kyle Porter: Thinner and faster than the original iPad, which 15 million were sold last year.
Steve Jobs: What about 2011?
Kyle Porter: Steve Jobs from Apple said the app business is booming as well. He said the iPad has 65,000 dedicated apps, while USA Today reports Apple's revenue in apps last year nearly $2 billion.
Mitch Peterson: That is eye opening. That's very cool to hear.
Kyle Porter: Mitch Peterson from Best Buy is excited to see the long lines when they sell the iPad 2 this month.
Mitch Peterson: It's an awesome toy to have. The tablets, they're really taking off. It's kind of that in-between device from a cell phone to a laptop.
Kyle Porter: But some experts say the booming app business can actually afford to offer free devices.
Hap Aziz: Right and that will happen.
Kyle Porter: Like e-readers Kindle and Nook.
Hap Aziz: So to distribute something that will facilitate more people buying the content, where Amazon's bread and butter is, that makes a lot of sense.
Kyle: He said if more people have an e-reader, more e-books will be sold.
Male: The e-books are very convenient for when you travel.
Kyle Porter: But don't expect the iPad or Zoom to be free. It costs a lot to develop them while 90% of their apps are free anyway.
Hap Aziz: And they don't have great motivation to offer their product for free, and if you look at the history of Apple, they've been perceived more as being on the high end anyway.
Kyle Porter: Kyle Porter, KARE 11 News.
Julie Nelson: The iPad 2 will cost the same as the original iPad, starting at $499. Apple will ship the iPad 2 on March 11th.