Bought the first AppleTv and upgraded to Apple version2 last year. Kinda bummed that Apple didn't just incorporate 1080 in version2- but that's the Apple way. 720p didn't bother me much for downloads. I usually only stream or download disposable entertainment- stuff I'm pretty sure I will only want to watch once. But for some films I want the absolute best presentation and i have Blu Ray for that. IMO- side by side- Bluray 1080p blows away what I see from netflix or iTunes. I'm curious how close the new 1080p Appletv will compare to Blu ray discs.