“Analyst Shaw Wu with Sterne Agee aimed to quash some investor concern on Wednesday that demand for the new iPad is waning,” Neil Hughes reports for AppleInsider. “That’s not true, he said, as his checks within Apple’s supply chain have found that the company continues to have strong interest in its latest touchscreen tablet.”

“Instead, he said, it’s supply of the new high-resolution Retina display that has limited shipments of the latest iPad,” Hughes reports. “He expects that situation to improve over the coming quarters, as additional production lines and suppliers are added.”

Hughes reports, “Another factor in iPad supply, Wu said, has been the fact that Foxconn is now ‘conforming to more sound labor practices.'”

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