A question worthy of wondering would be what the resolution of the iPad 2's retina display will be. For the iPhone and iPod Touch, the "retina display" had to exceed 300 PPI (pixels per inch) to make distinction between pixels impossible with the bare eye. However, an iPad would probably be held farther away from your eyes than an iPhone, so Apple could only double the resolution from the current 1024x768 to 2048x1536, which would get 260 PPI. Apple did the same move when they doubled the iPhone 3GS's display from 480x320 to 960x640 for the iPhone 4. Another reason to support this idea is that iBooks, an app by Apple, included the following chart:
Note that one bar is labeled "iPadx2". That certainly could mean the iPad 2 will have 2048x1536 resoloution, four times the pixel condensation as the current iPad.
Update 1: Unfortunately, the iPad 2 didn't see an upgrade in screen resolution, because Apple didn't have enough supplies (the picture above shows that they were planning for it)
Update 2: The
iPad 3, which comes out March 7, 2012 will have a retina display.