I have a question - if they laminated the screen, and added pencil 2 support, is there much left to differentiate it from the Air?
In that scenario the main things unique to each are.
iPad 10 - Landscape camera, colors, and new keyboard. (there may be some additional minor features in the iPad-10)
iPad Air - M1 for higher performance, twice the RAM at 8GB, faster USB-C, Stage Manager, External display support, and existing keyboards.
But you are correct that for most people the differences wouldn't be obvious.
You cant have Pencil 2 support with a landscape camera unless either were off-center. There will have to be a Pencil 3 with two smaller magnets positioned on either side of the camera.