Building HDTV doesn't make any sense.
However, building THE Device to plug to your HDTV, that makes sense. They already tried, twice, it has been called Apple TV so far, but it's not good enough!
So what if we would have a real complete Apple TV or Apple Media Center, which would include:
- Freaking high resolution, 1080p and more (such 4K for future proof)
- Very powerful Graphic/3D chip to use it as Game Center (to compete to Xbox 360, PS3, Wii, etc...)
- Wireless controllers: such iPad and stuff, as well as classic remote and GamePad
- Full DVR/TIVO features, to easily and automatically record sport games, favorite TV shows, etc... in just 2 clicks
- based on iOS with Full App Store integration, to access to your current favorite apps
- Webcam (or external webcam support) to Facetime/Skype friends and family from your couch, and potential Kinect-ish games/apps)
- Audio connectors, to plug it to your favorite HD sound system
- Video connectors, to plug it to your favorite HDTV
- Embedded iTunes Server, to use it as your main place for your library
- iCloud integration and remote access to your Apps/Files/Medias (Back to my mac stuff)
- USB ports to plug your iPod/iPhone, as well as the webcam, a printer, or even an external drive
- Ability to plug the MacBook Air external DVD drive to "import" your DVD in your Library (the same way you can import your audio CD in iTunes)
- Potential future accessories, even such a "House Automation" controller, for your lights, A/C and electric blinders, etc...
Regarding the Apps resolution, they could simply release iPad with Retina Display... that way developers will prepare all apps for HD resolution screen size, and then all apps will be ready for the Apple TV and big 1080p screen size.
The most important would be the associate service with (which could be the other reason for the huge data Center):
- iTunes TV: Kind of service for 'on-demand' streaming system, and live coverage for TV Channels (Fox, HBO, ABC, ESPN, etc...), with smooth integration with the DVR app. Another kind of approach of Netflix, Hulu, etc...
Regarding the reason for the Games in Living Room?
Because there are already hundreds of thousands of games for iOS in the App Store. (Most of them under $5 or $10). It would kill the market shared by Microsoft, Sony and Nintendo right now.
Also, with the Game Center, it could bring more "online gaming" such Xbox Live and PSN. With integration of audio and video (with webcam), a lot of feature for social-gaming could be included too.
Nonetheless, you could start playing a game on your living room TV, and then switch to your iPad in your bed room, or even continue it on your iPhone over 3G.
Mark my words... Apple is not going after TV... Apple will go after "Media Center" to bring contents on your TV.
Spid