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Nearly a third of consumers say they'd suddenly be interested in a new TV if it came from Apple

post #1 of 68
Thread Starter 
Should Apple follow through with much rumored plans to enter the connected TV business, it would prompt nearly a third of able consumers to abandon their typical 7-year upgrade cycle and consider opening up their wallets early -- for the right price.

In a survey of 200 consumers in the midwest -- which PiperJaffray believes is an accurate representation of the broader US demographic with 95% confidence and a confidence interval of 7 -- 49% expressed earnest interest in an 42-inch Apple-branded television in the near term. But only 12% of those people said they'd maintain their interest if the product was priced around $1500.

More significant, however, is that 29% of respondents who said they weren't currently in the market for a new TV in the near term admitted that they'd suddenly be lured back into the market given the advent of a TV manufactured by Apple.

"The level of interest generated by the ecosystem potential shows how powerful the Apple ecosystem has become, as demonstrated by the fact that 67% of all survey respondents interested in the TV owned an iPhone, iPad, or both," said analyst Gene Munster. "The bigger theme that is emerging from this data point is Apple is becoming less a product and more of a platform company that consumers find increasingly more difficult to leave."

Still, Munster believes that pricing could ultimately stand out as the biggest impetus by which consumers weigh their purchasing decisions, especially given a trend over the past 7 years that has seen HDTV prices progressively trend lower.

Television


"While we believe based on anecdotal evidence on iPhone, iPad and Mac sales, many consumers who responded with prices below $1,500 (average in this survey was $530) will be willing to go beyond their stated price range to purchase the product upon seeing it," he explained. "That said, there is a big gap between $530 and $1,500 which makes significant near term market share gains unlikely."

Should Apple manage to attract 10% of the US TV market during the first year, it would add 4% -- or more than $9 billion -- to the analyst's fiscal 2014 earnings estimates for the company of $231.8 billion.

Of those interested in a rumored Apple TV -- which Piper now believes won't materialize until mid- to late-2013, 21% said their interest was driven by Apple's ecosystem, 19% said an easy to use remote and 18% said internet connectivity.
post #2 of 68

The key of course to the article is "the right price".  The thing of course about the TV market is that every other manufacturer has already worked out the scale economies and already has the price as low as they can get.  I just don't see Apple as getting any more of an advantage out there considering that it won't be bottom of the barrel pricing.  It can't be

post #3 of 68

As long as it's a nice one, I'll buy it in the future when I can afford it.

Just don't get the parts from Samsung. My dad bought a 46 inch LCD about 18 months ago and it broke within 2 months. Samsung sent out a guy to repair it (under warranty), but it broke again a month later. So he took it back and bought a Samsung LED. It broke not to long again about 2 week out of warranty. Luckily, Samsung was nice enough to repair it anyway. 

 

For 1000 bucks, it sure does break a lot. I think we I go to buy a TV in the future, it won't be Samsung; however, I have heard good things about them from people.

 

Apple will need a strong selling point to make high profit margins though.

post #4 of 68

The TV market is only interesting to Apple if a 42" Apple TV can be priced at $999 the minimum. I mean a Samsung 40" Smart TV basic model is being priced at around $650 right now, and the profit margin is really low. So for Apple to maintain let's say a 35% profit margin, they got to charge at least $999.   

post #5 of 68

Really? The trial isn't enough news for PiperJaffray? They have to keep dumping the TV on us, too?

Originally posted by Marvin

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post #6 of 68

Anyone see a Samsung vs Apple lawsuit over TVs in the future? (assuming apple makes a TV)

post #7 of 68
Quote:
Originally Posted by Seankill View Post

Anyone see a Samsung vs Apple lawsuit over TVs in the future? (assuming apple makes a TV)

Over what?  The only thing they could sue over would be the Apple TV interface which Apple probably has patents over. 

post #8 of 68

Sure I would be interested, but for that to happen Apple would need to roll existing Apple TV technology into it, recognize that TV's are expected to be in the household for 10 years and not be replaced every 3 years which is what Apple expects for the iPhone, iPad and Mac computers.  The TV would have to be large enough 46-55" in size 1080p HD and of course be price competitive.  Otherwise why bother getting a new TV if it costs $2-3k is only 40" and doesn't offer anything better than what we see today.

post #9 of 68
Quote:
Originally Posted by diddy View Post

Over what?  The only thing they could sue over would be the Apple TV interface which Apple probably has patents over. 

 

Of course over the rectangular shape of the TV! /s

 

Seriously, will probably be on some patents of how signal is transmitted from 1 place to another, TV tuner internals, etc etc. No proof, but I'm sure Samsung have tons of patents on TV internals.

post #10 of 68
Quote:
Originally Posted by diddy View Post

Over what?  The only thing they could sue over would be the Apple TV interface which Apple probably has patents over. 

You never know, if it is wildly successful, I can't understand why Samsung wouldn't, knowing them.

post #11 of 68
Quote:
Originally Posted by drobforever View Post

 

Of course over the rectangular shape of the TV! /s

 

Seriously, will probably be on some patents of how signal is transmitted from 1 place to another, TV tuner internals, etc etc. No proof, but I'm sure Samsung have tons of patents on TV internals.


It it's anything standards essential Apple would get licenses when they get the boards and Samsung couldn't go after that - and that assumes that the patents haven't expired or anything. 

post #12 of 68

TVs are commodities. You go into Best Buy and they have dozens of LEDs and Plasmas all hooked up to either some crappy signal or playing a super high res Blue ray disc. In either case it is impossible to evaluate them because the florescent lighting in the store, reflections, crappy signal and side by side models with who knows what crazy color settings that have been jacked around with. Apple would have to really make some clear differentiation other than an Apple logo to compete in that scene. I would imagine they would need to create a really ideal display area in the Apple retail stores.

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post #13 of 68
As soon as Apple releases the 2nd generation of their television set I will buy one. I'll probably skip 1.0

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post #14 of 68
Quote:
 Apple is becoming less a product and more of a platform company that consumers find increasingly more difficult to leave.

 

I don't buy this line of reasoning. This makes it seem as if Apple come around to your home and forced you into their ecosystem with gun in hand. I have never talked to anyone who begrudgingly said, "God dammit, Apple is making me go buy an iPod, iMac, iPad and MacBook because I bought a LaserWriter back in 1993. They got me into their ecosystem and won't let me out. And I really want out. I hate them." 

 

People, you have a choice. If you are "forced" into their ecosystem, that's probably a sign that you "want" to be there, and like what they're offering. 

post #15 of 68
Quote:
Originally Posted by jd_in_sb View Post

As soon as Apple releases the 2nd generation of their television set I will buy one. I'll probably skip 1.0

iOS-powered. Just upgrade that. Heck, I wouldn't be surprised if they offered WiFi and 3/4G versions just like the iPad - and allow Facetime via the TV.

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post #16 of 68
Quote:
Originally Posted by Cyberzombie View Post

iOS-powered. Just upgrade that. Heck, I wouldn't be surprised if they offered WiFi and 3/4G versions just like the iPad - and allow Facetime via the TV.

It would most certainly need wifi. 3G would be a waste. But the facetime is a good point.

post #17 of 68
Originally Posted by Cyberzombie View Post
…3/4G versions…

 

What reason is there for a television to EVER connect to a telecom's network?

Originally posted by Marvin

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Originally posted by Marvin

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post #18 of 68
Quote:
Originally Posted by mstone View Post

TVs are commodities. You go into Best Buy and they have dozens of LEDs and Plasmas all hooked up to either some crappy signal or playing a super high res Blue ray disc. In either case it is impossible to evaluate them because the florescent lighting in the store, reflections, crappy signal and side by side models with who knows what crazy color settings that have been jacked around with. Apple would have to really make some clear differentiation other than an Apple logo to compete in that scene. I would imagine they would need to create a really ideal display area in the Apple retail stores.

That exactly what the analyst and the tech pundits said about Apple entering the mobile phone market. Too many players that are already established, too little profit and exactly what could Apple bring?
post #19 of 68
Quote:
Originally Posted by Cyberzombie View Post

iOS-powered. Just upgrade that. Heck, I wouldn't be surprised if they offered WiFi and 3/4G versions just like the iPad - and allow Facetime via the TV.

Really good point. I hadnt thought of that!

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post #20 of 68

No.  Apple won't implement their software to look like Samsung.  Samsung hasn't sued Apple over Apple TV have they?

post #21 of 68

They might do VoIP which is the way I would probably do it.  It's less expensive, plus more carriers are offering VoIP.

post #22 of 68

Apple can always develop a number of different motherboards to offer various levels of capabilities and then OEM it out to various TV mfg to integrate into a variety of sizes, panel types and price points.

 

If you look at the market, 50, 55, and 60 inch TVs are becoming more popular.  RIght now, Apple just has the AppleTV which is an add-on, but OEMing a more robust feature rich motherboard, might be the better route to get a much wider market.

post #23 of 68

I see no point to an Apple TV until they can do Super Hi-Vision panels and 50" and above.

Originally posted by Marvin

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post #24 of 68
Quote:
Originally Posted by mstone View Post

Apple would have to really make some clear differentiation other than an Apple logo to compete in that scene.

 

 

Have you noticed, especially over the last 12 years, that Apple specializes in exactly that?

post #25 of 68
Quote:
Originally Posted by macinthe408 View Post

 

I don't buy this line of reasoning. This makes it seem as if Apple come around to your home and forced you into their ecosystem with gun in hand. I have never talked to anyone who begrudgingly said, "God dammit, Apple is making me go buy an iPod, iMac, iPad and MacBook because I bought a LaserWriter back in 1993. They got me into their ecosystem and won't let me out. And I really want out. I hate them." 

 

People, you have a choice. If you are "forced" into their ecosystem, that's probably a sign that you "want" to be there, and like what they're offering. 

 

I think you miss the point though, I wasn't forced into the Apple ecosystem, but I am kind of stuck in it.

 

This is going to be controversial, but having looked at a colleagues Windows phone, I actually really like it, and would consider getting one when my iPhone is ready for replacement (unless of course the iPhone 5 is a big step forwards), but the thing that will stop me is the fact that I've spent a lot on iPhone apps, and have all my stuff in iTunes or Apperture.

 

Because of that, an alternate device would need to be a step change better than what Apple offer to make it worth moving, as opposed to the incremental improvements everyone is making to devices at the moment.

 

It was the same argument I had when I switched from PC's to Macs somewhere in the mid-2000's.  I was invested in a lot of PC software, but the Mac at the time represented a step change in experience vs. Windows XP, so it made the expense worth it.

post #26 of 68
They'd suddenly be interested? I'm not sure i can parse that. So they aren't interested right now by the prospect of an Apple TV but they know would be suddenly interested if it suddenly appeared?

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post #27 of 68
Good news for me!

Bored of selling Samsung/Sony/Panasonic TV's. Majority of my customers don't care for 3D and demoing Smart TV features is just horrible.

I'm sure Apple could do much better...
post #28 of 68
Quote:
Originally Posted by drobforever View Post

 

Of course over the rectangular shape of the TV! /s

 

Seriously, will probably be on some patents of how signal is transmitted from 1 place to another, TV tuner internals, etc etc. No proof, but I'm sure Samsung have tons of patents on TV internals.

 

FRAND.

post #29 of 68
There really is only one way that I can see them doing this, and differentiating themselves in any meaningful way: Implement Siri and FaceTime into the TV. Then it would be worth a premium price. Otherwise it is just another TV out there in a sea of other competitors.

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post #30 of 68

The problem I have with the reports of an Apple-branded television is that most households have multiple television sets. If I decided to ditch cable and switch to an Apple-branded television, would that mean I would have to buy a set for every room in the house I wanted to watch TV?

 

Honestly, I would rather see a more fully-realized Apple TV box that competes with Netflix or even offer a subscription-based streaming TV services to iDevices.

post #31 of 68
Quote:

Originally Posted by Tallest Skil View Post

 

Quote:
Originally Posted by Cyberzombie View Post

iOS-powered. Just upgrade that. Heck, I wouldn't be surprised if they offered WiFi and 3/4G versions just like the iPad - and allow Facetime via the TV.

 


 

What reason is there for a television to EVER connect to a telecom's network?

 

Broadens their audience. Not everyone has wifi in their home. We in the US are spoiled.

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post #32 of 68
Quote:
Originally Posted by Mike Eggleston View Post

There really is only one way that I can see them doing this, and differentiating themselves in any meaningful way: Implement Siri and FaceTime into the TV. Then it would be worth a premium price. Otherwise it is just another TV out there in a sea of other competitors.

That would be cool but both are a lot more complex than what they have on the iPhone. You need to find a way to isolate the person giving commands for Siri and for the camera will need to have a mechnanical zoom and pivot (or be high enough resolution to be able to isolate a small part of the viewfinder) and automatically locate and focus on the person using FaceTime. Unlike an iPhone you could be sitting above, below, to the left right, or a few feet to more than a dozen feet from the set. All that strikes me as a huge problem to overcome and even if you do it still doesn't deal with the fundamental reasons why TV sets and content is such a hassle.

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post #33 of 68
Originally Posted by Cyberzombie View Post
Broadens their audience. Not everyone has wifi in their home. We in the US are spoiled.

 

So they can watch TV for one hour a month. Great.

Originally posted by Marvin

Even if [the 5.5” iPhone] exists, it doesn’t deserve to.
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post #34 of 68

Not I. An Apple TV box maybe... an Apple televison, no! I don’t want some hulking thing in my life. I used to use my iMac as a TV, but now I’ve moved to an Air. My TV is now a projector—they’ve gotten cheap—and that’s how it will stay. So I hope, if Apple does something great with TV, that they still offer a standalone box!

post #35 of 68

If I answered in the survey, I would say yes to an Apple TV at any price just because I would like to see Apple do one.

post #36 of 68
Quote:
Originally Posted by Quadra 610 View Post

 

 

Have you noticed, especially over the last 12 years, that Apple specializes in exactly that?

I was just remarking that the way TVs are currently sold is not conducive to Apple being able to demonstrate the unique features that would be necessary to differentiate themselves.

 

The last time I looked at TVs in the BB Store some were mounted on the wall perhaps 8-10 ft above eye level. Something will have to change about that environment to demonstrate things like Siri or aTV Internet connectivity which likely will be part of Apples unique offering. I just think people go to a store like that and they cannot properly evaluate the various models and just end up choosing by brand name recognition and price. Although Apple has the brand recognition, the price is likely to be higher than some others and the difference will be difficult to notice if it is mounted up high on some wall.

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post #37 of 68
Quote:
Originally Posted by mstone View Post

I was just remarking that the way TVs are currently sold is not conducive to Apple being able to demonstrate the unique features that would be necessary to differentiate themselves.

 

The last time I looked at TVs in the BB Store some were mounted on the wall perhaps 8-10 ft above eye level. Something will have to change about that environment to demonstrate things like Siri or aTV Internet connectivity which likely will be part of Apples unique offering. I just think people go to a store like that and they cannot properly evaluate the various models and just end up choosing by brand name recognition and price. Although Apple has the brand recognition, the price is likely to be higher than some others and the difference will be difficult to notice if it is mounted up high on some wall.

 

I think Apple would just simply integrate the TV into their existing Best Buy Apple section. I have been to several Best Buy stores and most of them have a large monitor built into the Apple display. They could just replace that monitor with an Apple TV which would isolate it from the rest of the TV's, letting it stand on its own in a more controlled environment.

 

And my 5 year old Sony XBR series could really use an upgrade in the next year or so... so I am pretty excited to see what Apple MIGHT do in the near future.

post #38 of 68
Quote:
Originally Posted by mstone View Post

I was just remarking that the way TVs are currently sold is not conducive to Apple being able to demonstrate the unique features that would be necessary to differentiate themselves.

 

The last time I looked at TVs in the BB Store some were mounted on the wall perhaps 8-10 ft above eye level. Something will have to change about that environment to demonstrate things like Siri or aTV Internet connectivity which likely will be part of Apples unique offering. I just think people go to a store like that and they cannot properly evaluate the various models and just end up choosing by brand name recognition and price. Although Apple has the brand recognition, the price is likely to be higher than some others and the difference will be difficult to notice if it is mounted up high on some wall.

all tv's including smart tv's are pretty much the same. smart tv's have the same services as well

post #39 of 68

People are suddenly interested in ____ if it came from Apple.  (Fill blank with anything).

post #40 of 68
Quote:
Originally Posted by MojoRisinSD View Post

And my 5 year old Sony XBR series could really use an upgrade in the next year or so... so I am pretty excited to see what Apple MIGHT do in the near future.

I have a 5 year old 42" Sony, I think it might be the XBR. Whatever was the top of the line at that time. It is still working fine, looks great. sounds great, no issues. I would be hard pressed to justify replacing it. I really don't want a larger TV either. I suppose I could put that one out in the garage, since I did wire for it and installed backing for a wall mount out there. I don't think it would get much use since I'm not working on any motor projects right at the moment but that is the only other place I have that I can put a TV that size. I already have smaller full 1080 HD in the bedrooms and the kitchen. If Apple does release a TV I am definitely not a first day early adopter.

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