I've heard that there will be a 2G iPad in January 2011. Will this be cheaper than the iPad we have now? They have done this with other things like the Nano and the iPhone and a few others. The Wi-fi 16GB is currently £429.
While it is always possible the price will be lower it is much more likely that it will stay the same and the new machine will have enhanced capability. That is the way most Apple products evolve.