For some time, Apple has viewed its Apple TV product as a ‘hobby.’ While the device has been updated occasionally, the streaming video gadget has not been seen as a weapon in Cupertino’s battle with Google for media supremacy. However, that may change as word leaks that Google, Intel and Sony have teamed-up for GoogleTV.

A GoogleTV prototype already exists, according to the New York Times. The device employs Google’s Android operating system, Google’s Chrome Web browser and Intel’s Atom processor. The project has been underway for several months and plans to get a toolkit to developer over the next two months, with products introduced possibly this summer. Google has begun limiting testing of its set-top box with Dish Network, according to the NYT.

The Boxee beta is finally available for Apple TV.

Boxee is Apple TV done right. It’s a great, Net-connected, “social” media player that allows you to play video from all over the Web as well as files from file-sharing networks. It streams content from sites like Netflix, Pandora and Last.fm, and makes it easy to get entertainment recommendations from friends. It transforms the Apple TV into a truly-useful internet video device.

The beta adds a much-improved that’s easier to navigate. Boxee on Apple TV was previously available only as an early alpha version. The latest beta was released in January but was unavailable for Apple TV users — until now.

A group of Boxee users have updated the ATV-Usb creator to install the Boxee Beta.

Users who already have Boxee Alpha installed on their AppleTV can simply update Launcher and then update Boxee to install the beta, no patchstick needed.

Link to announcement on Boxee blog.

Take a screenshot tour of the Boxee beta after the jump.

We start off with a deal on Apple’s 1TB Time Capsule. The 802.11n base station includes a hard drive and is designed for laptop users looking to use Time Machine. Just $270. Next up: is a refurbished 160GB Apple TV from the Apple Store for just $189. We round out our top trio with a pair of Apple’s in-ear headphones.

Along the way, we check out software for Macs and iPhones, including “Robot Rampage”, part of the latest batch of App Store price drops. As always, details on these and many other bargains can be found on CoM’s “Daily Deals” page right after the jump.

Apple will offer $1 TV shows on the iPad when the new tablet device goes on sale later this year, according to a Thursday report. Several unnamed studios are going along with the pilot program designed to determine whether cutting current pricing in half stimulates sales.

“If you move five times the volume [of sales] at half the price, it’s a good deal,” one U.S. media conglomerate told the FT. Although studios had previously hesitated to sign-onto such an arrangement with Apple, falling DVD sales and low-cost $1 movie rentals from Redbox, are prompting the turn-around, according to the report.

At least until Spotify lets me stream music in Germany again, I love iTunes as much as anybody, but as much music as I’ve slurped from its fiber-optical teat over the years, I still wouldn’t be caught dead buying television shows from Apple.

It’s just consumerism at work: most television shows on Apple cost $1.99 per episode, but if I wait for a DVD box set of a show, I’ll pay half that. More over, I can stream a lot of television shows for free over sites like Hulu. Apple’s prices simply aren’t competitive.

Apple seems to agree. According to The Financial Times, it is being reported that Apple is strongly pushing networks and media executives to halve the price of television shows from $1.99 to $1.

The timing of this report suggests a Tablet connection to me. The Tablet is likely to be a very media-oriented device, and there has been some theorizing that it may actually finally deliver on the promises of the Apple TV, but in a portable form factor. For that to work, though, Apple needs their video content to be a lot more appetizing… especially since the Tablet will presumably only support MP4 video files, like the iPhone or iPod. Cheaper video content and season subscriptions to shows would go a long way towards shoring up the iTunes Video Store’s current weaknesses.

LAS VEGAS — The biggest electronics show in America —  the Consumer Electronics Show (or CES for short) — opens later this week in Las Vegas, but several companies paid big bucks to preview their new wares to the hundreds of journalists at a special preview event on Tuesday evening.

And there, in the middle of the room, was this bright-red Apple TV. Yeah, a high-def, flat-panel TV shaped like an Apple. The question is, what idiot would buy a TV shaped like an Apple?

“It’s unique, it’s fun, it’s apples,” said the flak unhelpfully.

Made by an unknown-to-me Chinese company, Hannspree, perhaps someone thought it might be mistaken for a real Apple TV, made by, you know, Apple? It has a remarkably Apple-like logo on the front (see the pic after the jump). And it does remind you of the old toilet-seat iBooks of old; the transluscent plastic ones with the carrying handle.

But the company was also displaying TVs covered in fur that looked like Polar and Panda bears, so who knows?

The AppleTV was a bizarre misstep for Cupertino, and judging by how they’ve consistently ignored the device since it launched, Apple damn well seems to know it. Popular AppleTV media software suite Boxee seem to too: they have just announced their own competing set-top media player for release in 2010.

We close out the week with a deal on a 27-inch iMac. The Core 2 Duo machine runs at 3.06 GHz and includes three years of AppleCare for $1,907. Also on tap: a new batch of App Store Freebies and yet more chances to own a 40GB Apple TV box. Along the way, we look at a Nike+iPod watch remote, an iPhone or iPod docking cradle, and an all-in-one iPod or iPhone FM transmitter.

For details on these and many more bargains, check out CoM’s “Daily Deals” page after the jump.

We start the week out with a trio of items designed for Black Friday followers, App Store browsers and big screen fans. First up, Apple confirms it will have a Black Friday “event,” but provides no details. Last week, a blog posted what it thought was a leaked Apple Store Online flyer, mentioning 25 percent and 30 percent discounts. The “leak” was later discounted, itself. Next up: for all those iPhones and iPod touches that will likely be purchased over the holidays, Apple’s App Store has unveiled a new batch of free applications. Finally, the U.S. Thanksgiving and Christmas begs for widescreen TVs dripping in all their HDTV glory. We have several to pick from.

As always, for details on these and other bargains, check out CoM’s “Daily Deals” page.

The iPod. The iPhone. Apple TV.

One of these things is not like the other. I’ll give you one guess which one I’m talking about.

Since its inception, Apple TV has been little more than a half-baked idea that appeals only to a niche market. Even Steve Jobs says Apple TV is only “a hobby.”

For a company known for pumping out game-changing products, this is very out of character. Apple TV is great at what it does, but it could be so much more.