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

27 Comments

    1. There’s already PLEX for iOS so if AppleTV runs iOS apps, it shouldn’t be a problem. I understand your concern because PLEX is important to me also. However, it’s no problem for me because I already have a Roku 3 and AppleTV will simply be an additional device to add to my smart TV.

  1. Native apps is an interesting idea. But are they planning on getting people to rebuy apps they used on their iPhone… when mirroring is already an option? What applications do they think will have better purpose as a native app that couldn’t be mirrored from a phone or iPad?

    1. I’m thinking apps for the AppleTV will come in the same form as CarPlay apps come today. Which means developers could very well include a distinct interface for user interaction on the AppleTV, but unlike CarPlay, the app will download to and run local on the AppleTV. I’d also say that the apps that are allowed to run locally will be severely limited to entertainment/streaming related categories.

      1. I think the hope will be to eventually make the AppleTV a living room hub by tying in the smart home aspects as well there own streaming service. They want to replace the cable box with something more connected. That opens up a lot of categories beyond entertainment as they are already establishing control of other devices through wifi.

        1. I was specifically refering to the AppStore and what Apple allows 3rd party developers to submit. It doesn’t make any sense to sell document-based or content creation apps.

          Apple will undoubtably produce built-in apps that can perform a multitude of tasks beyond entertainment. This is the point of producing other platforms such as HomeKit. And as such, will allow developers to write extensions for those platforms.

          1. Time will tell. There isn’t much of a precedent for an app platform running on a television. I can’t imagine Apple clamping down on categories if they can make their 30%. Being able to photo edit off your Dropbox account on a television would be pretty neat. Not sure they would automatically limit developers on that platform anymore than they have on iPad or iPhone.

  2. We’ll all know, or not, in a weeks time.

    Whatever it is, I will probably want one. What remains to be seen is if I will gladly pay the asking price for one.

    BTW, I absolutely love my Apple Watch, wear it everyday, and did gladly pay the asking price.

  3. Every thing “rumored” to be in the next Apple TV… Is EXACTLY what I have been wanting apple to do in a new Apple TV. Been waiting at least a year to buy a new Apple TV. Not going to switch to roku/fire TV etc due to the cost Apple will charge.. The others would require ME to change my library.. Apple TV I do not.

    Dvr for offline viewing/commercial skip is about the only thing I want that the rumored new Apple TV to have, and it could… Just we haven’t heard any rumors for that.

  4. If Apple does indeed plan on making the AppleTV a central hub for HomeKit appliances, then Siri will definitely be integrated.

    As far as pricing goes… all you need to do is look at the latest iPod touch models to get a somewhat realistic price range. The hardware in the touch would have a much higher cost because of the touch screen, cameras, and battery.

  5. If the remote is as powerful as rumoured and is suitable for games the logical extension is multiplayer games – which implies being able to buy extra remotes/controller. If you factor in the cost of one of them that would make the cost of Apple TV itself much lower. Maybe it will come with a standard remote and the new one will be an optional extra to take advantage of additional functionality.

  6. I was expecting the usual “Apple is all the genius and all the fools who are too stupid and flaccid-dicked to doubt their gigantic massiveness of genius will be destroyed in a flood of their own tears!!!! ” MDN Take here.

    Kinda disappointed, tbh.

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