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) --



has a good, but delicate, problem: How do you move millions of first-generation iPads during the holidays, when everyone knows there's a better version just around the corner?

Apple's iPad faces

very little tablet competition

this year as the gift-giving season heats up. The


Galaxy Tab is cute, but pricey. The

Research In Motion


PlayBook is a 2011 story.


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Streak was a bust.

In fact, the only device that stands in the way of a blowout Apple iPad Christmas sales performance is the iPad 2 -- if people hold out for it.

Analysts familiar with Apple's iPad plans say the next version will have both GSM and CDMA network compatibility, thanks to



chips, front- and rear-facing cameras for FaceTime video chats and improved processing and memory capacity.

The iPad 2 is expected to go into production in January and launch before the end of the March quarter.

With a huge lead in the market and all the improvements, sales targets for the iPad 2 are upwards of 50 million next year.

So will the option to have something under the tree in December outweigh the prospects of something significantly better eight weeks later?


reports of iPads at T.J. Maxx (TJX)

will certainly tip the scales a bit.

--Written by Scott Moritz in New York.>To contact this writer, click here: Scott Moritz, or email: follow Scott on Twitter, go to>To send a tip, email:

Editor's note: "Tech Edge" is a blog written and compiled by Scott Moritz, TheStreet's senior tech correspondent. The blog explores behind-the-scenes tech news, rumors and reports that Wall Street folks are talking about.