The courtroom drama surrounding the Apple-Samsung trial going on right now has resulted in a lot of legal theatrics and offered an interesting view into Apple’s product development of the original iPhone and iPad. Not much that has been said on the witness stand by Apple employees called to testify has been particularly revealing about Apple’s future plans. Until this afternoon. Apple’s SVP of iOS Software, Scott Forstall, just gave testimony that seemed to back up the recent reports that Apple is prepping a smaller iPad for sale.

On the stand Forstall was asked to read an email sent to him, as well as CEO Tim Cook and others, by fellow Apple executive Eddy Cue in January 2011. AllThingsD, reporting from inside the San Jose, Calif. courtroom, recorded Forstall’s reading of the email:

“I believe there will be a 7-inch market and we should do one,” Cue wrote in the…

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