The Economic Daily reports that a couple of Taiwanese companies have sealed deals with Apple, concerning a potential iPad 2. Said device will debut before Christmas time and it’ll pack a 7 inch display. This screen will rely on the IPS technology of the original iPad and its touchscreen panel will be supplied by Cando Corporation.

We’ve heard about a 7 inch iPad version previously, courtesy of an iLounge report earlier this month, that was accompanied by a mockup. Digitimes also had a scoop on the matter last week, so it’s very likely that the current 9.7 inch iPad may have a successor in the works, one that uses a smaller display.

[via macrumors]