Apple Mini-iPad Would Be Above $199: Analyst

Boxes of the new Apple iPad 2 are stacked as it goes on sale at Apple Store
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If Apple launches a smaller iPad tablet to compete with Google's Nexus 7 Tablet, it won't be priced quite as low as Google's $199 tablet, but will still be competitively priced, Channing Smith, Capital Advisors vice president, told CNBC on Thursday.

"It will be a little bit more," Smith said on "." "This is a two-horse race between Google and Apple. Google is trying to find an angle and a lower price point, Apple's going to come down and match that."

Apple currently sells its iPads for $500 to $600, but as Apple continues to grow in the international market, the company may begin to knock the price point down with the introduction of smaller iPad.

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Apple continues to dominate the tablet market with a 50 percent market share, Smith said, but competitors like Google, Microsoft and Amazon are introducing their own tablets in an effort to sway consumers.

But Apple's iPad has taken over more than just the consumer space, Smith said.

"One of the interesting things that's happening with Apple and the iPad market is that it's beginning to broaden." Smith said it's also being offered for schools, the military, government and private enterprise.

Apple isn't the only player though. Microsoft also has a chance to capture some of the enterprise market with its new tablet, the Surface.

"Microsoft has lost the consumer, so the next battle is going to be enterprise with the tablet," Smith said. "We think that Microsoft can have some success in that space."