On the iTV
A few points on the rumors swirling around the iTV:
- The lack of 1080p: I disagree with VentureBeat’s analysis of the rumored iTV’s lack of 1080p HD. They argue this will hinder the adoption of the device. Engadget reports the issue arrises because Apple’s A4 chip lacks the processing power to drive full HD video. But this is an odd suggestion: all ARM chips lack the power for dependable 1080 HD, and they compensate with a NVIDIA Ion or similar lightweight graphics chip. Understanding this, the argument becomes one of the cost to include a graphics chip. I think the lack of 1080 is refreshing: Apple gets what most companies don’t: most people don’t have the eyes (or sufficiently sized television) to discern 720 from 1080. And many don’t even hook up their equipment to take advantage of 1080 (and then never notice.) 1080, practically, is and always has been a marketing feature. It’s another bullet point to add to the Best Buy tag. Apple has never been one for bullet points for the sake of bullet points. They’d rather keep the chip out and costs down…
- $99!: This point is somewhat lost in the discussion online. Keeping iTV to $99 is crucial to it’s success. To succeed in TV, you must be mass. And to be mass market, you must be cheap. This matters more than any gadget pundit will admit and I imagine this is the benchmark Apple engineers are wrestling. And rightfully so. $99 is cheap enough to appeal as an experiment to anyone with an iPhone. $99 is, “I’ll take a try” money. But beyond that, Apple can keep costs below any potential competitors because the iTV is just an extension of their already thriving ecosystem.
- An iPod that connects to the TV: Another reason Apple can keep their costs so low (I’ll say it again: $99!) is that the iTV is driven by the A4. Bet that the new iPod Touch will be as well. Suddenly, 4 product lines are centered around the same chipset and the same software. Cost efficiencies have got to be huge. Apple, unlike most who aim for the set-top box market, can order components from existing suppliers and orders. Hell, they’re probably increasing their volume discount. Every X number of iTV’s made reduces the cost for iPod Touches, iPhones, iPads… Genius.
- iAd: Same OS means easier app development and porting. But it also means easier porting of advertising. Tell a client an iAd will be on an iPad, iPhone, and iTV. Doesn’t matter the install rate (eventually it will), just the word TV makes a difference. This will drive the platform.
