The new devices could come as soon as the fourth quarter of 2010 with Compal Electronics possibly receiving the order.
The sources noted that Apple has recently placed new iPad orders to Taiwan-based component makers for the fourth quarter of 2010 and the first quarter of 2011 with 9.7-inch, 5.6-inch and 7-inch models all included.
DigiTimes says the 9.7-inch model will get some minor changes and could add Chimei Innolux as a panel supplier. They believe the smaller iPads will mainly target the e-book market, separating from the larger multimedia based iPad.
Although their sources say Compal has won the order over Pegatron Technology. DigiTimes believes the company would be unlikely to chase after Apple orders considering they can make more profit off the netbook market.
They also suggest that despite the large amount of resources being poured into OLED, Samsung and LG may not have the capacity to supply new Apple devices until 2011.