One of the questions I’ve been peppered with since the iPad 2 announcement was whether I was going to replace my first-generation iPad for the new one. The answer for me is yes, since it’s part of my job to live with these gadgets so I can understand their strengths, weaknesses, and appeal. But for most original iPad owners, I’m guessing they’ll be holding out for version 3.

Why’s that? The real big change is less about the external redesign as much as what’s inside. New are things like a snappier processor and built-in graphics that Apple promises to be up to nine times faster than in the first-generation iPad. There are also the two cameras, which will open the device up to a greater number of applications.

Even so, Apple could have gone further, which is why I’m betting many with first-generation devices will be happy to hold out. As Steve Jobs alluded to during yesterday’s event, the company didn’t really have to add much. Competitors like Research In Motion and Hewlett-Packard are still scrambling to get their tablets out on the market, while Google Android tablets like the Xoom are coming in at a higher price than Apple’s entry level iPads with a smaller library of tablet-specific software.

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