In direct competition with the Nexus 7?

I find it interesting that during today's unveiling of the iPad mini Apple threw in a direct comparison with the Nexus 7 of all Android devices (forgetting about similar form factor tablets such as the Kindle or Nook). I'm aware that Apple have directly compared devices from other companies before but never in such vigorous detail - such a lengthy comparison with a rival device - taking the time to really drive their point home.

What's your personal opinion on this? Is Apple feeling threatened by the Nexus 7 or are they merely feeling confident in their product?

If the latter, why would they bother going into such detail to thrash a competitor device if they're confident their device will have no trouble with sales?

But please, let's keep discussion civil. I merely found it an interesting observation - one I had never seen in other presentations.