VAW: Why the Apple TV is not a hit

It is widely reported that the Apple TV has not been a big hit for Apple. Market Research firm Forrester claims that the Apple TV has failed to "catch the imagination" of customers. The firm revised its prediction from last May that Apple would sell one million Apple TVs by the end of the year to 800,000. The problem is rather obvious when you think about it. What does the Apple TV actually do?

According to its research, Forrester said that nearly half of all adults with online access say that they have heard of the Apple TV, but only 5% of those who feel they know what it does have either checked out the device in the store or looked it up online to learn more. Perhaps it is more of a case of what it doesn't do than what it does do that Apple really needs to think about. Clear up the fog of confusion over what the product actually does and most of the clueless 95% would probably respond, "Why would I need that?"

If all Apple wanted to do was let you watch iTunes videos on your widescreen TV, it has succeeded, but Apple fans expect more from Apple. Apple TV is not inspiring, revolutionary, or impressive. I can't really remember that last time I saw an Apple TV commercial, but I come across iPod and Macintosh television and print ads all the time. Apple just isn't pushing Apple TV very hard.

Perhaps it is because Apple realizes that there are many alternatives currently on the market that offer similar and possibly superior capabilities like the NetGear EVA700. Furthermore, other devices people already own may offer services that negate the need to purchase a new piece of equipment. XBOX 360 already has video-on-demand and PlayStation 3 will soon have it. Most cable providers already offer video-on-demand through their digital cable boxes.

SCIFI.COM | Ghost Hunters

Apple's philosophy might keep Apple TV from becoming a revolutionary product. Apple wants people on their Macs when they are not watching streaming video on Apple TV or listening to music on iPod. That is why it is not very likely Apple will provide the ability to surf the Internet through Apple TV. If Apple would take that one tiny step, Apple TV sales might start to climb. I'd buy one. I can check my .Mac account while watching Ghost Hunters? Sign me up! I don't see Apple discontinuing the Apple TV. For as weak as the product may currently be, Apple simply does not have an alternative to bridging the gap between your Mac and television.

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tom B :

Posted 344 days ago

1) WebTV is defunct. Killed by MSFT incompetence.
2) TiVo is a money-losing business.
3) XBox is not a viable platform for watching movies (Unless you are watching "Top Gun", which has lots of jet roar already in the movie).
4) The BIG troubles with AppleTV-- and I think they are temporary-- is that A) more content would be nice (not Apple's fault) B) people might need newer TVs. Guess what? EVERYBODY will need a new TV with the scheduled conversion to digital in '09.
In short, AppleTV is a wee bit ahead of its time. Frankly, I expect most TV content to be delivered by IP in a few years. Is it as good a deal as competing products that operate along the same basic strategy-- the Netgear box? Maybe, maybe not. May depend on YOUR particulars. Does it HAVE to be? Apple makes wireless "Airport" routers. They are nice. Do I own one? No. I went for lower cost-- Buffalo technologies. The set top box market is not one Apple needs to monopolize. The content side-- your iTunes libary--they ALREADY monolpolize. And that's a GOOD thing, because iTunes really IS cool and convenient. And I'm a stockholder.

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