In a market that has been dominated by Apple since the introduction of the iPad, Microsoft's release of its new Surface tablets along with Windows 8 on Oct. 26 at Midnight is one of most important product launches in the company's history. With the company rumored to have produced 3 million tablets already, Microsoft clearly agrees. But as the date draws closer, a new scenario for the Surface's launch is emerging: a three-way shootout.

Rumors have surfaced over the last few days about a possible 32GB version of Google's very popular Nexus 7 tablet, and it a report from Oct. 4 is to be believed, the company will indeed be releasing a 32GB version of the product, and possibly on or around the same day as Micrsoft's launch of its Surface tablets.

Google could release its new 32GB Nexus 7 as early as Oct. 24, allowing it to compete head-to-head with Microsoft's new Surface tablets, according to a report from Droid-Life.

An unnamed source told Droid-Life that resellers are expecting to receive shipments of the 32GB Nexus 7 "sometime around" Oct. 24, although the source said no official date has been confirmed. Droid-Life found that resellers are initially planning to sell the 32GB tablet for $259.92, although the site cautions that this price is just an estimate and is not related to what Google will actually charge for the device when it launches. Previously Google had only sold the Nexus 7 in 8GB and 16GB models.

Apple's long whispered about iPad Mini could also be coming out on or around the same date as Microsoft's product launch. Apple has reportedly begun production on the devices, according to The Wall Street Journal.

A report in Fortune that quoted an unnamed "major Apple investor" said press invitations for the official unveiling of the iPad Mini would be mailed out Oct. 10, which could mean the media event could come as early as Oct. 17.  Considering Apple likely wants the iPad Mini available to consumers ahead of the holiday shopping season, this almost certainly points to a very crowded tablet market and heated competition this fall.

The tablet market is about to be blown wide open. Apple's iPad has lost 29 percent of its share of the tablet market over the last year due to the introduction of new lower-priced tablets, according to a report from Pew Research Center.

The survey found that while 81 percent of tablet users surveyed in 2011 reported owning an iPad, now just 52 percent have the device. Nearly half, 48 percent, now own Android-based devices, and about half of those devices, 21 percent, are Kindle Fires, the survey found.

This is a huge opportunity for Microsoft. The market conditions are clearly moving in the company's favor. Nearly a quarter of U.S. adults, 22 percent, now own a tablet device, double the number from 2011. And nearly a quarter of those who don't have a tablet, 23 percent, plan to get one in the next six months.

While many might wonder why Microsoft has ordered such a high number of devices when it doesn't have that many physical retail locations, the company will reportedly open temporary "pop-up" stores in 32 cities around the U.S. and Canada on Oct. 26 to widen distribution of the devices, Microsoft said in an announcement on its website.

The 32 stores are temporary outlets that will be open only during the holiday season, and are not permanent locations like the two-dozen permanent Microsoft retail stores already in operation.

This move might be just what Microsoft needs to stir up wider public interest. With 29 of the 32 stores located in the same mall or shopping center as Apple stores, that shouldn't be hard. The proximity of Microsoft's pop-up stores to Apple's products in those instances will obviously give users a chance to readily compare devices as they use them for the first time, a priceless, ingenious marketing ploy.

The pop-up stores are:

U.S.

Atlanta (Perimeter Mall); Aventura, Fla. (Aventura Mall); Beachwood, Ohio (Beachwood Place); Bethesda, Md. (Montgomery Mall); Braintree, Mass. (South Shore Plaza); Charlotte, NC (Southpark Mall); Columbia, Md. (Mall in Columbia); Denver (Cherry Creek Shopping Center); Durham, NC (Streets at Southpoint); Frisco, Texas (Stonebriar Centre Mall); Garden, City, NY (Roosevelt Field Mall); Glendale, Calif. (Glendale Galleria); Indianapolis (Fashion Mall at Keystone); Las Vegas (Fashion Show Mall); Miami (Dadeland Mall); Nashville (Mall at Green Hills); Natick, Mass. (Natick Collection); New York City (Time Warner Center -- The Shops at Columbus Circle); Oklahoma City (Penn Square Mall); Paramus, NJ (Westfield Garden State Plaza); Pittsburgh (Ross Park Mall); Portland, Ore. (Washington Square); San Antonio (North Star Mall); San Francisco (San Francisco Centre); St. Louis (Saint Louis Galleria); Tulsa, Okla. (Woodland Hills Mall); West Hartford, Conn. (Westfarms Mall); Woodlands, Texas (Woodlands Mall)

Canada

Burnaby, British Columbia (Metropolis at Metrotown); Edmonton, Alberta (West Edmonton Mall); Toronto (Eaton Centre); Vancouver, BC (Oakridge Centre)

Microsoft's website promises more locations will be revealed in the future.

Microsoft has not commented on the pop-ups, or included confirmation that they would sell the Surface RT.

Microsoft Surface tablet features

The RT sports a HD screen (1280 x 720), while the Pro has a 10.6-inch Clear type Full HD (1920 x 1080) screen with 16:9 widescreen. 

That means they are among the biggest tablets in the market. If you are not satisfied with the typical 10.1-inch tablet, you can go for the Surface tablet. Along with the touch keyboards with the device, you can turn the machine to a small notebook.

The Surface tablet comes with five Touch Covers. Well, you can pick up any one while purchasing the machine. Different from typical keyboards, the Surface keypads provide brilliant typing experience thanks to their touch-based surface.

The Surface tablets mount both front and rear cameras. The front camera, named life cam by Microsoft, makes the tablet perfect for video chatting through Skype or other services. Using the rear camera, you can capture images and video clips.

Microsoft puts forward better memory options with the Surface tablets. The device comes in 32GB, 64GB and 128GB options. The 128GB is available only with Surface Pro. Further, you can expand the memory using external memory sticks thanks to microSD card slot. That is, you can store enough data including music, software items and video in external clips.

The 3mm Touch Cover can be connected to your Surface tablet with a single magnetic click, so, now you can type text and send messages quite easily.

The Surface's tablet housing features a revolutionary kickstand. Along with fully functioning keyboard and track-pad, the integrated kickstand helps you place the gadget in both portrait or landscape modes.

According to Bloomberg, Surface will only be able to go online using a short-range Wi-Fi connection. This is a stark contrast to Apple's iPad 3, which has a 3G option, and a faster LTE connection.

Media tablets powered by new Microsoft operating systems Windows 8 and Windows RT will have an impact on the overall market - just not this year, according to market intelligence firm ABI Research.

Windows-based tablets will commence shipments at the end of October and capture an estimated 1.5 percent of total tablet shipments for 2012. Pricing for Windows tablets will be a key consideration for end-user adoption.

If priced aggressively towards current Android tablets, Windows tablets could see 2013 shipments increase 10-fold year-over-year. But if they're priced like Apple's iPad offerings, Windows tablets may only double or triple shipments in 2013. Growth in the total available market is expected to come from businesses adopting tablets, which is expected to be a strong area for Windows 8.