Apple discounts 160GB Apple TV to $229, nixes 40GB
Apple this weekend discontinued the 40GB Apple TV and discounted the higher capacity model of its living room media player to $229.
The price drop places the 160GB offering at the cost previously represented by the now-defunct 40GB Apple TV. Currently, the 160GB model is the only version of the hardware available.
Weeks ago, Piper Jaffray analyst Gene Munster noted that the 40GB Apple TV had a wait time for those looking to purchase, something that had never been seen before. That lead Munster to believe that Apple could discontinue the model and drop the price of the 160GB hardware -- a prediction that proved to be correct.
Munster also believes that a major upgrade to the Apple TV is planned at some point in the future, and that hardware would be based around a new iTunes subscription service. However, he does not expect the new hardware to appear soon, because negotiations with the content providers must take place first -- likely a process that will take some time.
The analyst has said he believes a new Apple TV would increase video purchases if a subscription model were to be offered. He believes the popularity of Hulu and Netflix Instant Watch are evidence of this.
"Apple could leverage its deep library of content with many network and cable channel content owners to provide unlimited access to a sub-library of its TV shows for a standard monthly fee ($30 or $40 per month)," Munster said. "Such a product would effectively replace a consumer's monthly cable bill (~$85/month) and offer access to current and older episodes of select shows on select channels."
In addition to subscriptions, Munster has predicted that a new Apple TV would also potentially include DVR capabilities. The analyst also believes that in the long-term vision for Apple is a full-fledged Apple television set with built-in media syncing capabilities. He expects such a device to appear in the next two to five years.
The price drop places the 160GB offering at the cost previously represented by the now-defunct 40GB Apple TV. Currently, the 160GB model is the only version of the hardware available.
Weeks ago, Piper Jaffray analyst Gene Munster noted that the 40GB Apple TV had a wait time for those looking to purchase, something that had never been seen before. That lead Munster to believe that Apple could discontinue the model and drop the price of the 160GB hardware -- a prediction that proved to be correct.
Munster also believes that a major upgrade to the Apple TV is planned at some point in the future, and that hardware would be based around a new iTunes subscription service. However, he does not expect the new hardware to appear soon, because negotiations with the content providers must take place first -- likely a process that will take some time.
The analyst has said he believes a new Apple TV would increase video purchases if a subscription model were to be offered. He believes the popularity of Hulu and Netflix Instant Watch are evidence of this.
"Apple could leverage its deep library of content with many network and cable channel content owners to provide unlimited access to a sub-library of its TV shows for a standard monthly fee ($30 or $40 per month)," Munster said. "Such a product would effectively replace a consumer's monthly cable bill (~$85/month) and offer access to current and older episodes of select shows on select channels."
In addition to subscriptions, Munster has predicted that a new Apple TV would also potentially include DVR capabilities. The analyst also believes that in the long-term vision for Apple is a full-fledged Apple television set with built-in media syncing capabilities. He expects such a device to appear in the next two to five years.
Comments
Apple this weekend discounted the 40GB Apple TV and discounted the higher capacity model of its living room media player to $229.
Do you mean discontinued and discounted?
More than that though Apple just need to get off their backsides and give a damn about the iTunes store outside the UK. The disparity in content between the US store and what we poor slobs in the rest of the world get is shocking. The US store feels like an HD paradise compared to the largely SD world of the UK store, and of course we get new shows and films are around double the cost and months, or YEARS late. It's just not a very compelling offering.
As an owner of an Apple TV (160gb, but the HD is always empty) I'd love to see it developed further, as it really feels like a half baked product. It desperately needs access to streaming video sites, such as the BBC's iPlayer here in the UK and all the others too of course.
More than that though Apple just need to get off their backsides and give a damn about the iTunes store outside the UK. The disparity in content between the US store and what we poor slobs in the rest of the world get is shocking. The US store feels like an HD paradise compared to the largely SD world of the UK store, and of course we get new shows and films are around double the cost and months, or YEARS late. It's just not a very compelling offering.
Indeed. Apple needs to provide more content globally, how else do they expect the Apple TV to make a dent?
a lot cheaper for me to buy shiny disks of kids' movies than store them on hard drive and worry about backing them up
I too think it's good that Apple hasn't updated yet the ATV, to be honest, these days electronic "gadgets" get updated too frequently. Buy one product today and in 6 months it's obsolete. Ok, sure, it has it's good and bad sides. But i hope that Apple will continue releasing SW updates for the ATV! It's a really cool product with a lot of potential, not bad for a first try i have to say.
Yep, amazing really. All we need now is use of that USB for extra storage (without a hack).
What I would really like to see is TV show rentals. I like old TV shows but don't want to own them. Hulu is great but it stutters sometimes, even with Fios.
It seems, for the time being, updates will continue to be software only. Good news for me with a first generation ATV. It would now be a good time for Apple to allow that USB to be used for extra storage ...
We can only hope for a design refresh.... . .. anybody with any mock-ups?
no optical drive, no deal
a lot cheaper for me to buy shiny disks of kids' movies than store them on hard drive and worry about backing them up
I went the opposite direction for our grand kids ... not a shiny disk in site and tons of movies on a hard drive (ripped from our DVDs). I found these days the streaming option for the ATV is way easier than transferring the data to the ATV (I initially tried that but my first generation ATV has a small drive). I added a 1 TB drive especially for the iTunes Library on my Mac Pro and then got a free App for my iPhone called 'Rowmote'. This app uses Wi-Fi so you can control the Mac from elsewhere in the house with an iPhone and stream any of the movies easily. After a visit from the family I can attest to the ease of this set up and a seven year old can work Rowmote flawlessly ... no scratched, sticky or lost shiny disks either
Backing this drive up was easy with an external Firewire 800 1TB (a little over $100 from Best Buy) and Carbon Copy Cloner.
Currently showing as £195 ($323) for 40GB and £263 ($435) for 160GB. Not that the HDD size really matters. If you've got a movie collection then it's probably over 160GB and it streams perfectly well in my experience.
It's still a better investment to buy a low-end Mac Mini, in my opinion.
+1. Mac Mini should be = iPhone!
No update in the UK. We didn't get the last price cut either.
Currently showing as £195 ($323) for 40GB and £263 ($435) for 160GB. Not that the HDD size really matters. If you've got a movie collection then it's probably over 160GB and it streams perfectly well in my experience.
Oh. Maybe hold on, they'll update it soon, hopefully.
It's still a better investment to buy a low-end Mac Mini, in my opinion.
A low-end Mac Mini is 2.5 times the price (here in the UK)...
I too think it's good that Apple hasn't updated yet the ATV, to be honest, these days electronic "gadgets" get updated too frequently. Buy one product today and in 6 months it's obsolete. Ok, sure, it has it's good and bad sides. But i hope that Apple will continue releasing SW updates for the ATV! It's a really cool product with a lot of potential, not bad for a first try i have to say.
In my opinion AppleTV needs more features that can be done in software anyway. An 2nd generation AppleTV would probably be mostly faster chips and higher resolution.
no optical drive, no deal
a lot cheaper for me to buy shiny disks of kids' movies than store them on hard drive and worry about backing them up
Backing them up is the easy part.
I don't like clogging the internet connection though, and I really don't care to do the organization & ripping it takes to get everything on a hard drive, or in my case, likely enough for a Drobo.
A low-end Mac Mini is 2.5 times the price (here in the UK)...
It is that way here too, but a mini is more than 10x more flexible in many ways. I don't know if regular front row can rent movies, I haven't revisited that app in a year.
The disparity in content between the US store and what we poor slobs in the rest of the world get is shocking.
Just underlining what you say - I would vote for some focus on Sweden and other small countries?
We have NO MOVIES at all. Tunes, Apps, podcasts and audiobooks. That's it. HD? SD? I guess there are many more countries like this. I realize Sweden with a population no bigger than London or New York alone represents a small market - but hey!!! Please! And I think there is a potential if you take several of us in one go! Not to mention how internet friendly we are - FTTH leaders and all.
And if the movie industry want's to give Pirate Bay (and alike) a match they need to let iTunes free!