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Apple's living room hardware strategy remains poorly defined and lacks a coherent vision, with engineers allegedly pessimistic about the product line, according to a new report.

apple-tv-4k-arcade.jpg

This year the Apple TV got an iterative update with a redesigned Siri Remote, while the HomePod was discontinued. Apple is now said to be developing a combined HomePod-Apple TV device with a built-in screen and FaceTime camera.

In his latest "Power On" newsletter, however, Bloomberg journalist Mark Gurman says that Apple engineers have personally expressed concerns to him about the direction of Apple's living room hardware strategy.

Despite the obvious benefits of an Apple TV for users invested in Apple's ecosystem, Gurman opines that the set-top box is largely failing in a market dominated by cheaper alternatives from the likes of Amazon and Roku, and that Apple needs to introduce a more competitively priced stick-like Apple TV or offer more features if it wants to stay relevant in the living room.

However, "as of now, it's hard to believe that will happen soon," claims Gurman, "especially with Apple engineers telling me that the company doesn't have a strong living room hardware strategy and that there isn't much internal optimism."

Gurman points out that the Apple TV software has gone through more interface redesigns that perhaps any other Apple product, and yet still it has failed to crack the market. Meanwhile, Apple's combined Apple TV-HomePod device remains on schedule for release around 2023.

If that doesn't go well, Gurman suggests "it might be time for Apple to consider putting the Apple TV on the same shelf as other living room products like the iPod HiFi and high-end HomePod."

Article Link: Apple Engineers Reportedly Pessimistic About Apple's Living Room Hardware Strategy
 
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I'm with the engineers.
Given what most of us all do with our boxes, the unit needs to be WAY less expensive.

An HDMI stick version with remote for $69/$79 would be about right (when accounting for some Apple tax)

Have a cheap stick + remote for those who mostly just "watch stuff" - and then have something more $199-$299 for gaming focused or interested users and include a remote and a controller.
 
"Despite the obvious benefits of an ‌Apple TV‌ for users invested in Apple's ecosystem"

This is exactly the problem with apple's strategy in general. Google products for example work well everywhere over the web. But in order to get a nice experience from apple you have to put your hand deep in the pocket. Have you ever tried apple music on android ? It's a total mess. The same goes for all apple services. Heck, even apple tv+ on the mac is buggy.
 
Apple TV is great in many ways, but it obviously shows it’s a product with a lack of long term strategy and vision.
There should be so much potential having a really powerful arm silicon connected to the television it feels like Apple hasn’t taken full advantage.
 
Gurman points out that the Apple TV software has gone through more interface redesigns that perhaps any other Apple product, and yet still it has failed to crack the market.

Amazing to me anyone inside or outside Apple would even think this is the issue.

On a streaming box, the software itself is of really low importance once it's over a certain threshold.

Our household spends almost all our time inside the YouTubeTV, YouTube and HBO Max apps.
The actual software of the Apple TV matters almost zero to us.

It's nice - I'm not complaining about it -- but all we really do is "go launch an App"
 
Love my Apple TVs a lot, to the point that I’m more than happy to spend £100+ more to get another over a Roku for my office room (wouldn’t touch Amazon hardware with a mile-long barge pole).

but I definitely feel like Apple are letting the branch wither on this one. Can’t understand the logic behind not releasing a sub-£100 stick version, especially since they already did the same with the Homepod.
 
Amazing to me anyone inside or outside Apple would even think this is the issue.

On a streaming box, the software itself is of really low importance once it's over a certain threshold.

Our household spends almost all our time inside the YouTubeTV, YouTube and HBO Max apps.
The actual software of the Apple TV matters almost zero to us.

It's nice - I'm not complaining about it -- but all we really do is "go launch an App"
We use up next 90% of the time. The exception is YouTube which has so much new content per day I’m not sure if want it added, and Netflix. Funny thing is, we don’t watch much Netflix anymore because it’s not on up next.
 
Apple has been trying to crack the living room since 2006.
They tried it with the iPod hi-fi, and that failed for being overpriced.
They tried it with the first generation Apple TV, and that failed for being extremely overpriced, and also just being basically a hard drive for your TV that you couldn’t stream with, while streaming was becoming the new big thing.
With the Apple TV second and third generation, they were moving in the right direction. It was $99 so it wasn’t that expensive, it’s supported streaming, and it was extremely easy to use. But again, Apple was stubborn and didn’t open it to third-party apps, so it didn’t support everything, and it didn’t start supporting everything until super late in the game.
By 2015 when Apple decided to finally add third-party app support, they also decided to jack up the Apple TV‘s price and ruin the remote, so that didn’t help.
And now they’re stuck in a situation where the cheapest Apple TV that was released almost 6 years ago is still being sold for $149 whereas you can get a Google Chromecast for as low as like 20 bucks.
Sure, the Apple TV has a nice user interface and it’s easy to use and I love my Apple TV, but that’s not enough reason for anyone else to buy one.
Now I completely disagree with Mark that the solution might be to just discontinued the Apple TV. Even if the Apple TV will never, ever dominate, I still think that there’s a small percentage of people who absolutely love their Apple TV, and I would hate to see Apple just completely leave them in the dark.
But I don’t think that the strategy of introducing an extremely expensive home theater set up with a video camera and a $350 speaker all built-in is going to help their situation. That thing is going to be like $500, and have tons of cool features that most people won’t be able to justify forking over the money for. FaceTiming on the TV sounds like a cool thing, until it’s not.
It would be cool every once in a while for holidays and such, but am I going to want to FaceTime on my TV every single day? No. Am I going to want to handover $500 to be able to FaceTime on my TV? Absolutely not.
They should be working on a way to get the current Apple TV down in price. There is absolutely no justification for being $179 other than the ease-of-use, and that’s not good enough.
The 2015 Apple TV needs to go away, and they need to find someway to drop the current Apple TV in price. Even $129 would be better than $179, but if they could get it down to that old $99 price point, and get a good marketing strategy behind it involving the HomePod mini, AirPlay and enough crossovers, I think that would help a lot
 
“Despite the obvious benefits of an Apple TV for users invested in Apple's ecosystem”

How about the more obvious absence of benefits?

1. Buy an iPhone taking 4K videos.
2. Buy a 2TB iCloud subscription to store and sync your videos.
3. Buy an Apple TV 4K.
4. Watch your videos in 720p on your 60” 4K screen.
5. ???
6. Wonder why this thing isn’t selling so well.
 
There really isn't a benefit to apple tv over any competitors
Better UI, more powerful hardware makes it more fluid, no advertising, no spats from app developers because they don't have to pay to be on the platform, ecosystem (HomeKit Hub, AirPlay, Photos, Apple Music, AirPods/Spatial Audio, Podcasts, Fitness+), Apple Arcade...
 
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I like the Apple TV for AirPlay, which is convenient for music and videos from the phone. Also the interface is nice and smooth (TV App, Netflix, Infuse, etc. except Amazon Prime, which is the opposite of smooth).

I think, apple should make the ARM graphics hardware faster and then go into gaming. Apple Arcade is the right direction. But at the moment the games in Apple Arcade suck for Apple TV. Beach Buggy racing is nice (not Arcade), but the Arcade games are largely not optimized for Apple TV. Apple should push developers towards optimizing for Apple TV and release an Apple TV with strong graphics hardware. Then this would be convenient for gaming - kinda like Nintendo - they can't compete with PS and Xbox for graphics, but Mario Cart is fun and graphics is good enough. I would love to pay for Arcade. But at the moment, the content is crap (for Apple TV) and I am not interested on playing on phones or tablets. Instead I got four Steel Series Nimbus controllers that collect dust.

Apple TV is great. Good casual gaming support could be an improvement.
Honestly I don't know Fire tv stick and Crome cast from real experience. But I know WebOS and Android TV even for newer devices and this is real junk. Are the tv sticks from the big players comparable to Apple TV? Can you do more, than just play Netflix and Prime? The interface of Apple TV works to well and smooth. This is what other's usually don't do well.
 
It is overpriced.
The remote sucked for years. Then they release the new one and charge more for the remote than most charge for their sticks. (I bought two because the old remotes were so bad)

The newest AppleTV was basically a cheaper newer almost-equal processor "upgrade" so they can likely shut down the production of the old CPUs, not to really give anyone new functionality or capabilities.

Their lack of strategy for years has been apparent. Whats weird is they are basically resting the destiny of some very large services on it.... AppleTV+ (yes, you can watch it else where, but due to the similar name, most people I talk to think you need an AppleTV box, or at least an Apple product, neither of which are true. It would have been better with a new non-apple brand name I think), and Apple Fitness... which lets be honest, works best on the TV for most things....

We know the BOM on this device is quite low, they should cut into their huge margins because it is a gateway device to their services, which we know is where they really want to make their money.
 
Better UI, more powerful hardware makes it more fluid, no advertising, ecosystem (HomeKit Hub, Photos, Apple Music, AirPods/Spatial Audio), Apple Arcade is a good deal...

Better UI could be there on a much more value oriented box.

The overly powerful hardware is mostly wasted if you don't game.

(I really think they should segment the product line - I will never ever ever game on Apple TV and just want cheaper streaming options from Apple)
 
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