$400 for the 16GB IPad Mini 2.... Are they kidding? better cpu and Retina Display (which frankly is a waste on a 7.9" tablet, 1920x1200 is plenty at that size).
What made the original Mini attractive was the $300 range price point (I saw it on sale for $299 a number of times at Future Shop).
You can get a full sized IPad 4 or a Nexus 10 for that price.
I'm not surprised by the price increase; I'd bet the changes add up to that amount, more or less.
I don't really think that the mini is Apple's dive into the budget tablet market, it's more of a more portable (but still expensive) alternative to the iPad Air.
Also 1920x1200 is plenty for a 7 inch tablet, as it equates to about 330 PPI, but 1920x1200 on a 7.9 inch tablet is only around 290 PPI. (Not that changing the resolution was feasible, anyway.)
I'm keen to see the battery life as such a high PPI display would require a much stronger backlight. Perhaps it's not as bright as before? Maybe the battery life is less... Waiting for reviews xD