When Apple Inc. (NASDAQ:AAPL) announced their iPad Mini on Tuesday morning, critics balked at the starting price for $329.

It was originally predicted that the highly-anticipated iPad Mini would start at $299, a price that would make them more competitive with lower-priced Android tablets from Amazon.com, Inc. (NASDAQ:AMZN) and Barnes & Noble, Inc. (NYSE:BKS).

iPad Mini

Phil Schiller, a top executive for Apple Inc. (NASDAQ:AAPL), recently shared his thoughts with Reuters on why the iPad Mini was priced a little higher than expected. He said, “The iPad is far and away the most successful product in its category. The most affordable product we’ve made so far was $399, and people were choosing that over those other devices. And now you can get a device that’s even more affordable, at $329, in this great new form, and I think a lot of customers are going to be very excited about that.”

Schiller reminds us that the iPad Mini features a 7.9 inch display with a 4:3 aspect ratio, which is proportionally larger than Google Inc (NASDAQ:GOOG)’s Nexus tablet, which features a 7 inch display and 16:9 aspect ratio.  He also said, “Others have tried to make tablets smaller than the iPad, and they’ve failed miserably. These are not great experiences.”

There is little doubt that the iPad Mini will sell and despite the higher-than-expected starting price, it wouldn’t be surprising if the smaller iPad outsold competition. One analyst for FBN Securities even stated, “In spite of concerns about the price … we would be buyers of the stock even in front of earnings this Thursday, as we do believe that customers will pay a premium for an Apple tablet.”

Apple Inc. (NASDAQ:AAPL) also introduced a fourth generation 10-inch iPad, 13 inch MacBook Pro, and new iMac.

The iPad Mini will be available for pre-order on October 26. Wi-Fi models will hit retail stores on November 2 and Wi-Fi/Cellular models hit stores in mid-November.

It looks like it’s going to be a bright holiday season for Apple Inc. (NASDAQ:AAPL).