TUAW reports that Shanzai.com, a site that follows China's technology industry, has posted a rumor to the effect that Apple's next tablet will resemble "an oversized iPhone 4" rather than a smaller iPad.

Shanzai says that they have "ears to the ground in Shenzen," the home of Apple contract manufacturer Foxconn, and that loose lips have stated that the 7" tablet is a "finished product."

  7-inch iPad coming? Loose lips in Shenzen say yes