Check out the Apple Price Points by Ryan Jones
It makes sense for Apple to develop an iPad mini to fill the some of the triangle price points. Apple didn't have the full line (and price points) for the iPod or iPhone right away. The iPad is less than 30 months old, so there is still plenty of time for Apple to either create a new product line or offer carrier subsidies for the iPad line.
Do you think Apple will release a $99 iPad Mini on contract with Verizon?