The belief that Apple will enter the TV set market appears too good to let drop. One high-profile Apple analyst tells investors Monday the Cupertino, Calif. tech giant already has prototypes of a device worth $2.5 billion next year.
Gene Munster of Piper Jaffray, following the Apple Television trail since 2009, points to comments made by late Apple CEO Steve Jobs in an authorized biography just released. “I finally cracked it,” Jobs told biographer Walter Isaacson. According to Munster, prototypes of an Apple Television are already being made with Apple also “investing in manufacturing facilities and securing supply for LCD displays.”
Apple has also patented technology that could enable what Jobs described as a device that “seamlessly synced with all your devices and with iCloud.” In January, October and May of 2011, Apple filed U.S. Patent & Trademark Office applications for “patents related to software for browsing and recording live television,” features not available with the company’s Apple TV console, the analyst writes.
So, how might an Apple Television appear? The screen-size could range anywhere between 3.5-inch to 50-inch, based on Munster’s Asian meetings earlier this year. Additionally, Apple patents refer to a device that could include “a set-top box with or without a digital video recorder.” Top it off with a system which uses the Siri voice system to enter show titles or actors’ names and you have a product worth $2.5 billion in 2012 and $6 billion by 2014, according to Munster.
Of course, this isn’t the first time we’ve heard Apple’s entry into the cut-throat and commoditized TV set market was a done deal. Early this summer, a report cited a former Apple executive claiming the company would introduce a device “this fall” that would “blow Netflix and all those other guys away.”
Aside from the fact that every new TV-related product comes with the “blow Netflix away” claim, that report suggested AirPlay — the hot new Apple technology of the day — was the final piece of the puzzle that would produce the holy grail. Now comes along the latest tidbit, this time arguing it is Siri that will launch the Apple Television revolution.
Pardon me if I yawn.
The one kernel of information worth following, though, is Munster reporting “a contact close to an Asian component supplier” saying prototypes of an Apple television are being produced. If similar reports begin emerging, there might be more to the rumors.
Ed Sutherland is a veteran technology journalist who first heard of Apple when they grew on trees, Yahoo was run out of a Stanford dorm and Google was an unknown upstart. Since then, Sutherland has covered the whole technology landscape, concentrating on tracking the trends and figuring out the finances of large (and small) technology companies.
35 responses to “Apple TV Sets Are ‘In the Works’ [Analyst]”
Still think an Apple branded TV is a bit stupid. Many people already have HDTVs and would rather buy an nice little inexpensive ATV set top box. I see the price being the largest issue as TV set mark up is so low as it is now.
Yeah I have been hearing about these kind of speculations for years. While it would be nice I am sticking to the wait and see option before I take this on board.
Can you imagine how much those would cost? LOL.
I believe they are saying it will have Siri….in your house! Cool. Like Star Trek…ooooooooo :)
Everyone laughing about how much something like this would cost should really just stop… Apple has proven that they’re competitive in pricing when it comes to consumer electronics. You can argue until you’re blue in the face whether Macs are worth their cost, but iPads and iPhones are certainly priced where they should be. Apple isn’t stupid – they know people aren’t going to buy a $2000 HDTV just because Apple made it.
Sure, you could compare it to their smaller monitors being $1000. But let’s get real here – those expensive monitors are *extremely* high res screens. That’s why they’re so expensive. And an Apple-branded HDTV only needs to be 1080p.
I think Apple could certainly bring a TV to the market and succeed at around the $1200 range. It all depends on what it does though. If it’s just a TV (which I sincerely doubt it would be), then I’d go for something cheaper. But if it’s a completely new product, serving a new market, then I could easily see these flying off the shelves. Personally, I don’t see Apple putting out just “another TV”. It’ll be something that rocks the entire market.
It all depends on what the unannounced product actually does. I doubt it’ll be just another TV with some AppleTV functionality built-in.
Just because Apple has prototypes means sh!t.
Apple has probably been working on Apple TVs for a long time now.
This supposed Analyst is saying all of this based on a quote from Steven Jobs bio, and all he says is he’s cracked it. Well with iCloud and Siri, an updated ATV3 could very easily take advantage of these and not require me to dump $2000 a piece for all new TVs in my house.
Also, without commitments from the Networks or cable companies, it’s still going to be gimped, I’m still going to be required to interface to my TV (cable TV) through their shitty box’s.
I have held out and have almost bought a flat screen LCD tv… but I put it off, and I certainly hope and would buy a “TV” made by Apple. Especially if it had Siri capabilities! I can’t stand trying to look for a football game on Comcast trying to use their guide search. If I could just speak to find a program, record or what not- it’s a done deal. I’ll certainly buy an Apple branded “TV” if one should ever be released.
If it can replace my $99 Roku, $199 Nintendo Wii (at the time I bought it), and $129 Blu-Ray Player ($430+ total of 3 devices)… oh, and top of that a cable box and perhaps sound bar (if they build in a sound bar into the base), and put it all together in one intuitive interface that my wife could use no problem then it’d even be worth $2,000.
Add to that the “beauty” of an Apple design and no more need to spend good money on cable management (like building crap into the wall, buying cable ties, figuring out how/where to hide cables, etc.) and the value grows.
The living room is just about the last room left in the house with clutter. My computer desk has 1 cable, the power cable. If my TV room can have the same benefit, I would gladly pay a premium.
The only concern I have is the size. There’s no way I am replacing my 60″ Plasma with a 50″ model. The difference would be just too great. But of course a big model may come in time.
Actually, I would hope that they’d launch with a 42″, 50″ and 58/60 inch model at $1299, $1599, and $1999. That would be hot!
It says it all, “Gene Munster of Piper Jaffray…” That is all this bloke goes on about. There’s no money in tv’s, even an apple branded one!
No way this is true. I spent almost 30 years working for 2 different manufacturers in the cutthroat TV business. It is an ultra-high volume ultra-low margin industry. Even with Apple’s tremendous buying power and creativity, it just doesn’t make sense.
What does make sense (assuming Apple could sign deals with the cable and satellite providers) would be an advanced Apple TV with Siri control. They are probably already working on that, but it is some years away.
“Ultra-high volume ultra-low margin industry”
You could say that about the PC market but Apple to seems to be able to sell the MBA/MBP in increasing numbers despite their high price.
If you make anything desirable enough there are plently of people with money willing to pay the premium.
Hi-volume low-margin, yes. Apple would sell many more upgraded ATVs that would plug into existing monitors. I would not dump my new 3D TV for many years, specially with my TiVo plugged in. The current ATV does not offer enough (even at the low price) to bother with. I pay enough for my cable, there is more to watch with a TiVo than I have time for. Unless it offers a lot more than movies on-line, nothing there for me.
I may be 500 times wrong, but I have a feeling That Apple is on to something else.
It’s not about TV. It’s about everything you need in tv.
You just buy a tv from apple. Which has a atv built in and boom.
No hdmi etc. nothing and you don’t have to call Comcast or dish.
Simply turn the TV on and follow the onscreen process and sign the package with everything on it, no classical America or gold America package.
One low price.
But here is the bonus, you can watch your tv ant where in any I device witn your apple Id and DVR in the clouds.
Do you remember how mr Steve as upset with cable/ satellite company, he was not upset with TV manufacturer. He will still buy tv parts from Samsung or toshiba.
Built in AppleTV with a screen resolution for a built in computer and more. The ultimate TV/computer/recorder/streamer with Siri for the living room or family room. See where this is going?
Why not an Apple TV with a hard drive for storing live TV as a PVR? That makes much more sense than TV sets.
Yeah, I’m going to go ahead and disagree with this based on track record alone. Apple has a Midas touch with these sort of things.