Analyst Believes Apple Television Set Already in 'Full Production', Launch Timeframe Unclear

[MacRumors]

While The Wall Street Journal is outlining Apple's goals for a television set-top box, others continue to believe that Apple is working on a standalone television set of its own integrating much of the same functionality.

One of those observers is Jefferies & Co. analyst Peter Misek, who has been piecing together clues from Apple's supply chain in Asia and noted back in March that components for an Apple television set were "starting to move in small quantities". Misek is out with a new research note today, claiming that the Apple's television is now in "full production" with Apple looking to partner with providers such as AT&T and Verizon on the product while offering a set-top box alternative for entrenched cable providers.

We believe the iTV is in full production. Recent data out of Sharp, Hon Hai, and other specialty chemical and TV component suppliers support this. Also, JDSU noted that they have a new non-gaming customer for its gesture control modules. They indicated this is a new "living room" based customer. We believe Apple will leverage AT&T's and Verizon's content deals for the iTV. Additionally, the WSJ's sources indicate Apple may also consider a set-top box version for the cable operators.

Misek is currently modeling for sales of two million Apple television sets in the fourth quarter of this year with an average selling price of $1250, but he notes that Apple may push back the launch into 2013 as it puts its focus on the iPad mini to counter efforts by Google, Amazon and Microsoft in the tablet market.

We expect either the iPad Mini to launch in CQ4 with the iTV either launching in CQ4 or CQ1.

Microsoft's Surface tablets, the initial success of Google's Nexus 7, and Amazon's upcoming product launches could be affecting Apple's launch schedule. These represent stiff competition vs. a likely lack of viable competition for the iTV over the next year. [...]

There is also the possibility that Apple chooses to launch both products before year end. The iTV would then be in time for the Christmas selling season, but that would mean Apple having three huge product launches in a short timeframe and leave little for CY13 outside of the typical iPhone and iPad refresh.

Misek also notes that Apple could be looking at a potential problem with display partner Sharp, which has continued to experience financial difficulties amid fears that the company could enter bankruptcy. Apple's assembly partner Foxconn/Hon Hai has already entered into a partnership that saw the company take a 10% stake in Sharp, with Hon Hai reportedly seeking to raise its stake to 20% as it renegotiates the deal in light of Sharp's continued troubles. Misek believes that Apple may find itself having to "spearhead a quiet rescue" of Sharp with the assistance of Hon Hai, given the close relationship among the three companies and Apple's existing investments in Sharp's facilities.

Article Link: Analyst Believes Apple Television Set Already in 'Full Production', Launch Timeframe Unclear

 

[Apple Knowledge Navigator]

Steve would never have... oh wait.... he did crack it!

It'll take cheaper rental prices to prise me away from discs though.

 

[wickerman1893]

I can believe it. If they DID announce it in September, they are going to want to shock the audience by saying "Ships within a week!"

 

[nuckinfutz]

If it has Thunderbolt....I'll buy it.

 

[tekno]

The lame update to the iPhone and an Apple TV set will be the first nails in Apple's coffin.

 

[aaronsullivan]

Finding this hard to believe, even as far as rumors go. I hope it's the best thing ever and comes out this year, but seems like too much, too soon. I'm expecting to hear murmurings of a BREAKTHROUGH with content providers, whether it's cable providers or TV studios before this happens. Not rumors of "talks". I'd like to be wrong, though.

 

[caligomez]

That would be something..

Although I would certainly not buy that 1st generation.

 

[Geckotek]

The lame update to the iPhone and an Apple TV set will be the first nails in Apple's coffin.

LOL....so said many people several times about other products. Yet, no coffin.... Hmmmmm

 

[basesloaded190]

Partner with AT&T and Verizon? Please don't.

 

[chrmjenkins]

LOL....so said many people several times about other products. Yet, no coffin.... Hmmmmm

A coffin 300 cubits long made of solid unobtanium.

Partner with AT&T and Verizon? Please don't.

What would you rather they do? Go the TiVo route (how they doing, by the way)? Partnerships are unavoidable in this area. They already have to partner with the networks to make this kind of thing happen too.

 

[yossi]

How can the stockroom of an apple store handle dozens of 50-60 inch LCDS?

How will the customer carry said TV from the interior of a mall to their car way out in the parking lot?

 

[Intarweb]

I see this as a zero percent true. If there was a possibility to be a negatively true it would get that. I'd look and see how much AAPL stock buffoon has.

 

[phillipduran]

This would be a nice "One more thing . . ."

 

[macus3r]

who knows how long apple's been truly at it, making TVs and what not. (iPad started in 2003-2004 right?).

Maybe their product is up to snuff. As far as I'm concerned though, I think the company's running on all cylinders right now, and an additional product category may just overwhelm the company, as crazy as it sounds.

I think they should most certainly hold off for at least another year... allow the iPad category to truly take off. I was in an apple store yesterday and saw some really impressive iGadgets you could attach to your iOS devices--blood pressure cuff, diabetes glucose testers, dog leashes, app controlled power switches. there's a healthy economy being generated by the additional product flooding apple stores as a result of iOS devices... I say apple let the pot boil for a bit longer on iPad and iPhone before they get into the TV business. Growth should be doled out somewhat.

You have to think of the mental and physical strain/anguish the company puts on its employees and its suppliers just to execute. Might be a good idea to ease on up a bit.

 

[blumpkin]

Stopped reading at "Analyst Believes."

 

[tekno]

LOL....so said many people several times about other products. Yet, no coffin.... Hmmmmm

I just really think an Apple TV won't spread like the iPhone, iPad, iPod etc. have. The sales will be equal or less than Apple TV and I reckon it'll go the way of Ping, the Newton etc.

And knowing Apple, they'll cripple it in various ways that'll make it less desireable (in the same was Apple TV won't allow a HDD to be plugged into it).



Yes, I realise that's how it looks. But I'm actually genuinely angry with the route Apple is taking these days. I absolutely fell for Apple back in 2004 but am now beginning to feel cheated and am pulling away and turning to other manufacturers.

 

[AppleScruff1]

How can the stockroom of an apple store handle dozens of 50-60 inch LCDS?

How will the customer carry said TV from the interior of a mall to their car way out in the parking lot?

They will carry them the same way they do at Best Buy. They will have a cart and an employee will assist you.

 

[Nightarchaon]

Unless have learned to produce and sell at a competitive price point with other "smart" TVs no one is going to buy into this.

Also, will expect me to rush out and buy a new TV every couple of years because the "updates" to its iOS are only available on new sets ?

I don't think s iOS device or even laptop business model is applicable to items that most people only buy two or three of in a life time , like TV sets.

 

[Small White Car]

I wouldn't have thought it possible to top, but all the Apple TV rumors have finally made the years of "Apple Tablet" rumors seem sane and rational.

 

[jav6454]

Analysts and their believes... Fun to watch them squirm to make their clients happy.

 

[mrtune]

I'm mixed about this.

Apple loves to stop updating software for hardware after just a few years typically.

For example, my late 2007 MacBook can't get mountain lion and my older Apple TV from 2008 didn't get the new interface or airplay. But both function great and have been left behind by Apple.

Most people (including myself) keep TVs much longer than Apple's typical software update cycle. I would hate to buy a TV and some new OS for it comes out 3 or 4 years after I buy it and my TV is considered obsolete.

I would much rather see the Apple TV evolve into a more full featured set top box (like a TiVo) than see Apple make a full on TV.

Easier for me to spend $200-300 ever few years than to spend $1200-1700 (just guessing) just to be able to stay up to date with new software features.

 

[Stewie86]

No iPhone rumors!

 

[JayLenochiniMac]

Full production yet no leaks? Unless they were done on purpose.

 

[ristlin]

The lame update to the iPhone and an Apple TV set will be the first nails in Apple's coffin.

In YOUR coffin!

 

[AppleScruff1]

Unless have learned to produce and sell at a competitive price point with other "smart" TVs no one is going to buy into this.

Also, will expect me to rush out and buy a new TV every couple of years because the "updates" to its iOS are only available on new sets ?

I don't think s iOS device or even laptop business model is applicable to items that most people only buy two or three of in a life time , like TV sets.

Competitive prices won't matter. They won't go after the mainstream market, nor will they sell anything that they don't make a huge profit.

The loyalists will gladly buy a new tv every few years because theirs is not upgradeable.

Now people will buy tv's like they do phones.