ParisLemon » No Apple TV Update Until the 2nd Half of 2008? To Include an LCD ?

No Apple TV Update Until the 2nd Half of 2008? To Include an LCD ?

A report from Goldman Sachs researchers (via AppleInsider) who met with manufacturers and suppliers of Apple goods in Asia last week indicates that the AppleTV won’t see an update until the 2nd half of 2008 – flat out: if Apple waits that long they are stupid.

We are in the midst of a writer’s strike and at the point now where no new content is on television, people are already grumbling about it and seeking alternatives – and the Apple TV certainly could be one, but it’s just not viable yet. Add this to the possibility that both the Xbox 360 and the PS3 may have capabilities to show Internet content on your television by then – and will have sold millions of more units each than the Apple TV – and we could see Apple in a very deep hole in the digital living room by the time Apple TV 2.0 come out.

The report also starts the rumor that the new version of the device “could include an LCD display” – if they mean by that it could be a TV screen itself, I’m not sure that wouldn’t be a mistake either. Most people seem to want a cheap device to get Internet and digital video content to their televisions – not entirely new, likely expensive televisions. There were rumors of this Apple-branded TV before and nothing came of it, so we’ll see about that.

I know myself and many others were hoping to hear about an Apple TV and iTunes Video Store update at MacWold in a few weeks – if that has been delayed until the 3rd or 4th quarter of 2008, that is very bad news.

[photo by flickr user Photo-Mojo]

Post by MG Siegler on 12/12/07
Comments

Matt M

There is no need to update the hardware right away, just the software to enable Movie rentals, add some HD iTunes content, and maybe add internet radio capability. All these can be done with the existing hardware which is selling for quite cheap these days.

MG Siegler

Good point Matt, but I still would have liked to see a newer iteration with a few new features such as maybe an optical drive that could help it spur sales just in case the movie rentals store isn't ready soonish.

also remember that while software updates are awesome for people like you and I in the know, the public at large are still suckers for a huge new product announcement rather than a software update. If Apple announces an AppleTV 2 it'll likely garner more buzz than a software upgrade announcement even if both do the exact same thing.

This is important because the Apple TV sales have been flat. The public wants to see a picture of something new and shiny from Apple.

MG Siegler

@Matt - a price cut could work too, a $199 Apple TV with iTunes Movie Rentals would be VERY attractive...

Anonymous

AppleTV"s real weakness is that it delivers HD content to the TV, but there are no sources for HD content short of illegally ripping your own DVDs. It is a device ahead of its time, much like the Newton. Way ahead of its time, without a market to penetrate because the market isn't ready for it. Until the commercial DVD manufacturers make it easier to rip DVDs, set top boxes are going to be held back.

MG Siegler

@anon - true, although DVDs aren't technically HD either (iTunes current video quality is actually just a bit below DVD quality). Ripping HD-DVD or Blu-rays would look great, but would take up a ton of space without an optimized codec.

I think you're right about the device being ahead of its time, but the time is now for Apple to make a move. Rentals and HD content are both doable (as proven by Xbox Live).

By the way, there is a very easy way to rip - and of course by that I mean make backup copies of - DVDs if you own a Mac. Google the term "Handbrake" :)