Apple is reportedly refocusing its production and pricing techniques, and come the holiday quarter, global consumers can expect the release of a dirt-cheap iPad Mini, bearing a $US249 tag price, a new report said.

The price downgrade is a steep cut from the $US329 seen in the first iPad Mini build and is primarily motivated by Apple's purported shift to produces cheaper devices, potentially expanding the tech giant's customer base, CNET said in a report.

Pointing to a recent research note issued by Citi Research, the tech site reported too that there is a strong signal that suggests Apple is producing an iPad Mini edition with an irresistible price mark as the core attraction.

A fresh iPad Mini version should come out following the rumoured iPhone 5S launch in September 2013, according to Citi Research analyst Glenn Yeung.

Yet attractive as it may be, this cheap Mini comes with a catch - it is not the hotly-anticipated iPad Mini 2 with Retina. Obviously, the trade offs that Apple had to implement will make Retina as the prime casualty of the major shift.

The Citi assessment also supports the earlier assertion made by KGI Securities analyst Ming-chi Kuo, claiming in his note that apart from the Retina-laced iPad Mini 2, another make of the compact tablet will hit the market on Q4 2013 and it will be the most accessible iPad yet.

In coming with the iPad Mini that mainly caters to the price-sensitive market, Apple is again breaking a new path that other industry players will be following, Citi Research predicted on its report.

"We detect ... a pattern to lower-end mix that we view as part of a natural and inevitable trend for Apple and indeed the entire mobile device industry," the firm was quoted by CNET as saying.

Now the question begs: Will Apple's move generate negative reactions from investors, considering it could lead to shrinking profits?

Citi thinks otherwise, citing a recent statement from Apple COO Peter Oppenheimer that says each company decision is looking forward to future benefits.

"We are managing the business for the long term and are willing to trade off short-term profits where we see long-term potential," the Apple executive reportedly said.

It is hinted too in other reports that works are underway for the upcoming release of a low-cost iOS handset to be called the iPhone Mini, further highlighting the new business model that Apple is seriously looking into.