According to Slashgear, Concord Securities analyst Ming-Chi Kuo has been quoted as saying that Apple is building an “oversized iPod Touch” with a screen size of around 5-inches.

The oversized iPod Touch is expected to debut somewhere in the second half of 2011.

Instead of downgrading the size of the iPad to compete with lower end tablets, Apple might be looking to increase the size of their iPod Touch.

The focus on the larger iPod Touch would be more toward multimedia and gaming.