Apple's rumored 7.85-inch iPad is colloquially referred to as the iPad mini could end up being called just that, and the iPod nano could end up getting Wi-Fi so it can access iTunes in the Cloud and the subscription iTunes Match service. This according to Macotakara
According to Asian source, the name of Apple's new product, which are expected to have 7"85' and called as iPad mini, will be named as "iPad mini" officially. This source expects that "iPad" logo will be printed on back of case same as "iPod" is printed on iPod nano and iPod touch, and it means one new product will be added on iPad's product brand genre.
iPad mini does fit with Apple's former iPod mini and current Mac mini brands. However, a lot of people are just calling it iPad mini for lack of an official name, so it's hard to tell if it's just fallen into usage, or actually been decided on. John Gruber of Daring Fireball has mentioned iPad Air, like MacBook Air, and we've gone over some other possibilities as well.
With regards to the iPod nano, it currently looks like iOS, with similar icons and rudimentary touch controls, but it doesn't run iOS. Adding Wi-Fi and hooking it into iCloud might require more than the hybrid OS it's running now. If it's getting a new design, complete with a Hone button, could it be getting an operating system overhaul as well? I have no specific information on this, but it feels like that's what would be required for significant new functionality to be added. And if they're building in a network stack and text entry, what else could it do? Wi-Fi Sync? AirPlay?
Otherwise, why not just stick with Bluetooth and make it a tethered peripheral?