“Doesn’t Apple have a magic touch in new product categories? After all, it disrupted the entire music and smartphone market and is now attacking new sectors such as mobile payments and wearables with its Apple Watch,” Tales From The Future writes for Seeking Alpha. “Why can’t the same winning formula be applied to TV hardware as well?”
TFTF writes, “Apple stockholders should be thankful that Apple did not enter this market up to now and hopefully won’t in the future.”
Why An Apple TV Set Is Still A Bad Idea:
1. TV Gross Margins And Logistics Issues
2. Longevity And Low Turnover in TV Sales
3. Apple’s Business Model At Risk: TV Hardware Is A Commodity
4. TV/On Demand Content Delivery Issues
5. Content Cost and Bargaining Issues
TFTF writes, “Apple can – and should, in my opinion – achieve both a better user experience (SDK for iOS developers, more content deals, ‘appification’ of TV stations with personalized content and advertising, iPad/iPhone as second screens) and increased market share in the living room with improved Apple TV box revisions sold around current price points ($99) without creating its own TV set.”
Read more in the full article here.
MacDailyNews Take: “Apple Television” is not a bad idea unless you think Apple won’t bring something completely new to the table. Anyone who’s watched Apple even cursorily, understands that when Apple enters a market they deliver unique, new value propositions. Apple disrupts. If Apple sees a way to disrupt the broken “TV” experience, they will work to deliver “Apple Television.”
Related articles:
Yes, Apple will do a television set – September 26, 2014
Piper Jaffray’s Gene Munster: Apple Television quite possible in 2016 – September 24, 2014
