Apple finally bringing 1080p HD videos to iTunes, next Apple TV?

The Apple rumor du jour concerns one of the annoying drawbacks of iTunes and Apple TV video capabilities. AppleInsider is reporting that an "iTunes HD+" upgrade could be in the works that would finally bring 1080p HD videos to the iTunes ecosystem.

Apple has resisted 1080p for its iTunes videos and even the current version of Apple TV because the company claims it will slow streaming speeds, which could degrade your viewing experience more than the extra resolution could improve it. In fact, Apple has even resisted putting Blu-ray drives into its Mac computers.

So what's changed that may be influencing Apple's decision? It now has a superior A5 chip that can handle 1080p streaming on the iPad 2 and that could find its way into a new version of Apple TV that'd be available for the holiday shopping season. Broadband speeds and market penetration are also increasing, which makes more homes capable of streaming 1080p without as many hiccups as in the past.

Of course, the competitive landscape includes other streaming devices like Roku with versions that can support 1080p as well as more Blu-ray players and TVs that can stream Netflix in HD. And, finally, there are the never-ending rumors of Apple bringing out HDTVs, which presumably would have Apple TV functionality built into them.

Every Apple rumor should be taken with a huge grain of salt, but this is just the type of incremental upgrade that answers a longstanding annoyance and requires purchasing a new device to take advantage of the upgrade. So don't be surprised if 1080p support comes to iTunes and Apple TV in the fall after all.