And without actual PVR capabilities, I think theTV will be a major disappointment to many of those who actually buy it, and a flop as far as overall sales go.
To me, in Australia, the AppleTV is simply INCAPABLE of showing TV without a PVR. Music, iPhoto slideshows, and movie previews - but there's no movie store.
We'll know more soon about how expandable (or not) the AppleTV is - after all, it is just a simpler PentiumM-based Mac running OSX withOUT the standard GUI. As such I'm not convinced that AppleTV won't have PVR capability via EyeTV, nor that it's not expandable with other codecs (DivX/XviD). We'll see soon.