Apple TV + DVR = Billions?
A series of patent filings from October 2006 were recently uncovering, revealing a logical next step for Apple’s increasingly popular Apple TV service. The patents essentially cover the integration of TiVo-like DVR features into the set top box that would provide guide, recording and playback-control functionality to the user. DVR integration would certainly go a long way towards taking Apple’s product from a geek toy to big player in the home entertainment game. In a note to clients, American Technology Research analyst Shaw Wu speculated that the addition of DVR functionality could boost Apple TV revenue from a paltry $100-125 million per year well into the billions. Wu believes that additional manufacturing costs brought on by added DVR functionality would be insignificant at $12-$15 per unit, and added appeal and value would be immense. "We (as well as many others) have been clamoring for DVR and/or TV tuner capabilities since the introduction of Apple TV 1.0 in January 2007 and even Apple TV 2.0 with movie rentals in January 2008. We are pleased to see Apple listening to customers similar to what it has done with iPhone, with adding native access to Exchange server." Going off on a brief tangent, Wu also mentioned that according to his sources, a Blu-ray deal between Apple and Sony is near completion. Wu’s note closes with a reaffirmation of AAPL’s buy rating and a target of $175. We might hold on a bit longer but you get the idea; Apple is certainly showing no signs of slowing down as it continues to find new ways into pockets well outside of its cult-like following of old.
On Mar 16, 2008 @ 11:13 am, AJ Said:
DVR capabilities in Apple TV is not out of the question at all. We’ve seen what they can do with storage in Time Capsule, which in my opinion is a simple and brilliant idea. You’re basically adding a TV tuner to Time Capsule and putting the Apple TV software on it.
That would be a great little device. 802.11n router, DVR, and media extender. That, however, is mostly a pipe dream. The last two will eventually happen, but the possibility is there to add the third.
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On Mar 16, 2008 @ 11:43 am, Matt T Said:
I think it would be a Great idea, within apples reach for sure.
I already own the 2nd version of Apple tv, i love it already and i can only see this product getting better over time!
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On Mar 16, 2008 @ 11:52 am, Kevin G Said:
This is an amazing idea. I love the apple tv 2.0. I use it more than my cable. With the added features, it will all be amazing.
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On Mar 16, 2008 @ 11:56 am, Galvatron Said:
but it’s speculation and besides what apple dosn’t tell ou is you can already do that with electronics an without need for appl tv
you just need a big hard drive for what your capturing $3-400 hic you can grab at target slav-mart or for 300 bucks a tuner card or tunerusbdongle
and a laptop or deskstop computer that pulls 2.0=ghz.
as for anaylists
mssive amounts of specultaion is the other reasons why the price of oil is breaking $110 a barel the other reasins being not enogh barels
to go aroun with the rising world demand
and the falling value of the us doller
apples sotck has fallen recently down to $150 a share an well sony aint selling enogh PS3’s
so his motivation or the firm he works for is to generat specultaion so inverstors go to those 2 companis and buy shares.
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On Mar 16, 2008 @ 12:30 pm, John Said:
DVR would be an interesting feature, but I’m not sure it wouldn’t distract users from the main usage of AppleTV (so far), which isi accessing iTunes material.
Frankly, I’d prefer to see an ATV with a blueray player or something built in before a DVR. As I already have (too many) TiVo boxes, and would likely continue to use them, I think a blueray ATV would be a nice addition. Considering the price of blueray players, and the fact that after HDDVD’s fall from grace PS3’s are actually selling out for the first time ever around me, an ATV with blueray at a reasonable price would be a pretty big win for Apple, IMO.
Also, I adore the graphic w/ the article — combines 2 of my favorite toys
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On Mar 16, 2008 @ 4:56 pm, RS Said:
It could happen eventually (although Apple will have to find a model that doesn’t too severaly undercut its existing attempts at video sales.)
Another question will be whether or not updates to the Xbox360 and PS3 offer the same functionality (and thus give you all that plus gaming for only slightly more. The Media Center extender functionality in the Xbox already offers this, but only if you have a Media Center PC hooked up to it. I think it’s pretty much a given that we’ll eventually see the Xbox function as its own stand-alone Media Center platform (with newer iterations including any necessary hardware; or maybe even offering up a non-gaming/media-flavored Xbox.)
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