“Lost in all the hoopla over the iPhone at Macworld was Apple TV, sort of a cross between a Mac Mini, a wireless router, and a set-top box, which couch potatoes can use to connect a big-screen television with a Mac or PC,” Tom Krazit reports for CNET News.
“Apple’s intentions seem clear: It wants to be the company that finally figures out how to tie the television to the Internet and make video downloads as common as music downloads,” Krazit reports.
Krazit reports, “Rather than trying to convince people to buy a whole new PC for the living room, Apple is pitching a $299 price tag and promoting the hundreds of TV shows and movies on the iTunes Store. But, at least in its first incarnation, it’s unlikely that Apple TV will disrupt the entrenched players in the living room, according to analysts… ‘I don’t see where people are going to be willing to give up their pay TV subscription and go to the Internet for programming’ anytime soon, said Michelle Abraham, an analyst with In-Stat.”
“More and more people are setting up wireless networks in their homes, but configuring those wireless networks to handle video has been a more difficult exercise… This is where analysts believe Apple might have an edge. “One of Apple’s strengths is ease of use with elegant solutions,” said Chris Crotty, an analyst with iSuppli,” Krazit reports.
“For instance, you could think of Apple TV as a replacement for a DVD player, said Chris Whitmore, an analyst with Deutsche Bank. This was the analogy Apple used in its press release announcing Apple TV. Instead of heading out to Blockbuster or renting movies through the mail with Netflix, just press a button in iTunes and download the movie,” Krazit reports. “Apple has an established model in the iTunes Store for delivering content. And in Apple TV, it has a cool-looking device that could be easy to use: the same formula that made the iPod a success, Crotty said.
Full article here.
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