Apple introduces iPad mini built for Apple Intelligence

Why is the bezel so thick? A 1-2cm bezel around the entire "mini" device seems a bit odd, given that the iPad Mini is a relatively tiny device and phones these days come with a 1-2mm bezel (10x less useless border).

Is it a cost saving measure / sneaky margin increaser, or what might be the motivation?

Edit:

Touch interference is a good idea. Still, from the picture, it looks like the bezel could be half as thick and work well. Sorry to be such a stickler, I am genuinely curious if Apple is chasing better margins, the best feasible UX, or something else.

Could it be that since this device is only $650 USD, it isn't expensive enough to warrant a premium display? (Like the iPhone SE https://www.apple.com/iphone-se/)

If so, I wish there was a fancier "Pro" model with premium components. IIRC, I paid $1000 for my first iPad, it was the first super high-resolution one back in 2012. Perhaps there aren't enough customers who are sensitive to wasted screen real estate on an 8-inch device.. and FWIW I have noticed a constant stream of toddlers pacified by iPad Minis whenever I'm at Costco.

Screens come in standard sizes. It might simply be that they can't fit all the parts inside, including the battery, without making the device bigger than the standard screen size and so you get bezels. Bigger devices have more room in them and many of the parts are just the same size.

Are "standard" screen sizes really something you have to care about at Apple-scale?

Yes, LCDs are made as giant sheets that are cut into panels. They will want to cut those sheets in a way to ensure the least amount of waste as possible. They are not making them completely arbitrary sizes.

That giant sheet of mother glass is 2940mm x 3370mm. Cutting efficiency dictates the size of TVs, but it's basically irrelevant for phone or tablet displays.