Apple’s $150-$200 Apple TV models could be a tough sell

“Apple could launch its new Apple TV soon, which will reportedly be powered by an A8 chip and cost between $149 and $199,” Leo Sun writes for The Motley Fool. “If those rumors are correct, the new ‘Apple TV 4’ would be a big upgrade from its predecessor, which is powered by an A5 chip and costs just $69.”

“Apple is expected to unveil the new Apple TV alongside its next-gen iPhones at its Sept. 9 event. TechCrunch claims that the new device will feature a dedicated store for apps and games, an SDK for developers, and a new remote equipped with motion sensors, a touchscreen, and a microphone for Siri integration,” Sun writes. “Apple previously stated that the Apple TV would serve as a central hub for HomeKit compatible smart home devices. The device is also expected to host its upcoming streaming video service, which will reportedly cost $40 per month.

MacDailyNews Note: The new Apple TV remote is described as offering “touch support and motion control,” not “a touchscreen.”

“Those new features sound impressive, but I think Apple may have overestimated its appeal. If the new Apple TV really costs around $200, it could be quickly marginalized by competing devices,” Sun writes. “It could be tough for Apple to sell its new Apple TV for $149 to $199, especially when the cheaper third-generation version lost ground to Google and Amazon. That competition likely caused Apple to slash the price of the latest Apple TV from $99 to $69 back in March. Apple might believe that its brand appeal will allow it to sell the new Apple TV at higher prices, but past sales figures indicate that its set-top box remains largely ignored by Apple customers.”

Read more in the full article here.

MacDailyNews Take: We’ll wait and see what’s included with “Apple TV” when Apple unveils it. There may be some additional carrot(s)/feature(s) that will help the new Apple TV cut through the clutter to the average Joe who currently still has no idea what an Apple TV even is, much less wants to buy one. Yes, we all know why universal search alone is worth it, but unless Apple has a strong must-have reason for Joe and Jane Sixpack to buy into Apple TV, Sun is correct: Apple’s $150-$200 Apple TV models could be a tough sell.

SEE ALSO:
New Apple TV to offer A8 chip, 8/16GB storage, same ports, no 4K, and new black remote – September 2, 2015
New Apple TV will feature universal search, start at $149 – September 2, 2015
Apple TV 4 to focus on extensive Siri control, deep support for gaming – August 31, 2015
Apple TV revisited – August 31, 2015
Apple could more than double the cost of the next Apple TV – August 31, 2015
What app developers want to see in the new Apple TV – August 31, 2015
Apple TV 4 coming in October for under $200, Apple TV 3 becomes entry level; both get new streaming service – August 30, 2015
Apple acquired Matcha for its proprietary recommendation algorithm – August 15, 2013
Apple gears up for the video discovery wars – August 15, 2013
Apple acquires second-screen TV/video app Matcha.tv – August 13, 2013

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