Financial Times are reporting:
News Corp is nearing a decision on whether to start a news organisation to provide content for a subscription application on digital tablet devices such as Apple’s iPad, according to people close to the plans.
If News Corp gives the green light to the tablet-centric news organisation plans, it will hire a new staff while borrowing from the resources, but not the content, of its news assets, which include the New York Post and Dow Jones. The product would include coverage of news, entertainment, sports and politics.
Okay, so they're talking about creating new content just for tablets. Considering the duplication of effort, I'd have to say that this would be a waste of money.
I also have a theory that tablets are going to follow the development path of netbooks. Look at where netbooks were 2 years ago (that's where we are with tablets). The hype was high and everyone was going to make one. But where are netbooks now? When was the last time that someone released a netbook that wasn't simply an underpowered laptop?