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Apple TV could revitalize slumping television market
Will Apple launch its own television set in 2013? It's possible, and very likely -- if the analysts are right -- but when, and at what price?
Apple lost out to the sub-$200 mini-tablet range by pricing its own 7-inch iPad mini at a price premium. The Cupertino, Calif.-based technology giant has not broken down the figures, but analysts still believe the mini-tablet has failed to take off. If Apple takes the same approach with a fully-fledged 'smart TV,' it may not revitalize the wider technology market.
The problem is that televisions are not replaced very often, and are low margin products. This is why Sony, Sharp and Panasonic, and others -- excluding Samsung which is faring the weather well -- are struggling to stay afloat and are looking at financing options. A break into the television market would be an automatic failure, but if Apple could control it -- as it would -- it would be more than a "hobby business," as Apple chief executive Tim Cook said at the company's fourth quarter earnings call, but also be less than a dire waste of time.
Still, by bringing iTunes and pay-per-view content to the television set, the devices could be sold at a modest premium with razor-thin margins -- just as Google and Amazon do with their tablets -- and still rake in the cash long-term with the television content factor.