Apple’s big-screen iPad Pro has a smaller sibling.
Apple on Monday announced the 9.7-inch iPad Pro, confirming rumors over the last several months that the company was working on a smaller, enterprise-focused tablet to complement the larger-screen version it premiered last year. The new iPad Pro weighs less than one pound and runs on Apple’s latest-generation processor, the A9X. Like the larger, 12.9-inch iPad Pro, the device runs on Apple’s iOS.
Phil Schiller, Apple’s senior vice president of worldwide marketing, said the 9.7-inch iPad is the company’s “most popular size,” which prompted Apple to introduce a smaller business-focused version. In addition, Schiller says that the smaller screen could attract Windows customers.
The announcement came at Apple’s first major press event of the year on Monday. The event, dubbed “Let us loop you in,” gave Apple an opportunity to showcase some of its latest hardware and software, and lift sales in divisions where revenue is lagging.
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During the last-reported quarter ending Dec. 26, Apple’s revenue reached $75.9 billion, up just 2% compared to the same period in the prior year. While the company’s smaller Services and “Other Products” division, made up of the Apple Watch and Apple TV, among other devices, were up substantially year-over-year, its Mac and iPad divisions were disappointments.
Indeed, Apple’s iPad division is one of the more concerning areas for investors. During the latest quarter, unit sales fell 25% year-over-year while revenue fell 21%. While Apple CEO Tim Cook has argued that he sees a “long runway” for the iPad, investors and analysts wonder if the tablet’s best days are behind it.
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By announcing a new iPad Pro on Monday, Apple is trying to boost its ailing tablet business. Perhaps just as importantly, the company is trying to appeal to corporate customers who were flummoxed by the 12.9-inch iPad Pro. While both devices are compatible with a stylus, called Apple Pencil, and an attachable keyboard, so-called “2-in-one hybrids,” or computers that can be converted into tablets, have been gaining in popularity. As recent data from research firms IDC and Gartner show, customers are increasingly willing to spend more cash on hybrids than a tablet of any size, let alone one with a big screen.
Still, Apple remains defiant. During the company’s announcement of its new iPad Pro, Schiller seemed confident that Apple can revive its tablet business. Whether an iPad Pro with a smaller screen can actually make a difference, however, remains to be seen.
Read more: Apple March ‘Loop You In’ Event: Live Blog
Like the previous iPad Pro, the new version boasts support for Apple Pencil and comes with the ability to add an attachable keyboard. Apple’s 12.9-inch iPad Pro is still available for those who want the bigger screen. In addition, the device’s screen is 40% less-reflective and 25% brighter than the iPad Air 2, which also comes with a 9.7-inch screen. Schiller was also quick to point out that its screen is capable of adapting color temperature based on ambient light, which he says, users will really like.
Schiller says that the new iPad Pro is the “ultimate PC replacement.” The device comes in silver, space grey, and rose gold. The device’s Wi-Fi-only 32GB version is available for $599, while the 128GB version goes for $749. A 256GB option will cost customers $899.
To make room for the smaller iPad Pro, Apple says its iPad Air 2 will now start at $399, representing a $100 price drop. The company’s iPad Mini will now start at $269.
For more about what happened at Apple’s event and the latest news from the company’s first keynote of the year, click here for Fortune’s liveblog.
