Apple needs to make an inexpensive Apple TV HDMI streaming stick that can rival the Google Chromecast and Amazon Fire TV Stick, Bloomberg News’ Mark Gurman opines.
Mark Gurman for Bloomberg News:
If Apple offered a cheap and quick way to access tvOS, the App Store and services on any TV, it could quickly create a foothold and increase its services revenue.
As it stands, the company makes little to no money in Apple TV hardware. The devices don’t fetch the kind of 40%-60% margins that Apple sees in other categories, and it’s hard to command a premium price. Though the latest model costs 30% more than the $99 original Apple TV from 2010, the company has been looking to cut the cost to stay competitive.
The best scenario for Apple in TV hardware would be a cheap stick (perhaps with no physical remote — use your iPhone instead). It’s an idea that Apple marketing executives detest, but it would help the company quickly expand its presence. If consumers want more power and storage, they can opt for the current box.
MacDailyNews Take: This is an excellent idea, however old it may be:
A low-cost Apple TV streaming stick with healthy margins make sense for the launch of Apple’s streaming content service… – MacDailyNews, November 23, 2018
[A] cheaper Apple TV streaming stick… it certainly would expand “Apple TV” use and the reach of Apple Services. – MacDailyNews, June 1, 2020
Nobody should ever accuse Tim Cook’s iterative, myopic Apple of being ahead of the game.
Please help support MacDailyNews — and enjoy subscriber-only articles, comments, chat, and more — by subscribing to our Substack: macdailynews.substack.com. Thank you!
Support MacDailyNews at no extra cost to you by using this link to shop at Amazon.
Think of how much money Apple would make if they just released a large iMac.
Apple doesn’t care. They make enough that they don’t care what the consumer wants.
At least I have an excuse to buy my first headless Mac since ’95 (along with 32″ Dell display!)
Apple movies aren’t a profit center…neither is the AppleTV. Both have had many yrs to correct/modify. “Repeating the same thing over and over and expecting….”
HomePod (large) wasn’t a big seller, the Head Gear Thing was hardly a draw (but quite advanced)…other examples of duds, essentially.
Might as well get a TV out with a combo of these features and more. Show us the TV “has finally been cracked.” Until then, ride the crest of the iPhone and EarPod’s annuities.
At the school where I work, we recently purchased 20 Apple TVs without remotes to replace Firesticks throughout. The Apple TVs really aren’t much bigger, and they work so much better, offering a much clearer picture.
Just use the AppleTV app available on most platforms instead. No need for new hardware.