Just as a general reminder to anyone reading this thread and not bogged down by iTunes-specific playlists:
iTunes is not needed for anything at all in relation to your iDevice in 2013. I haven't touched iTunes since 2011. So, it's definitely possible to upgrade to iOS 7 without bothering to update iTunes. However, iOS 7 is extremely ugly, so that staying with iOS 6 is a legitimate choice.
Quote:
Originally Posted by HarryT
Apple have never even attempted to be competitive on price; they don't need to be.
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That's a humorous statement.

Apple nearly went bankrupt in the 1990s, employing that strategy. Being overly confident in one's position as a market leader (is Apple even that at this point?) can be dangerous -- ask Nokia these days.
No matter how you slice it, an 8-inch tablet at $400 is horribly expensive. Only future will tell whether Apple can get away with this particular price-point.