the television content is way overpriced... i mean i was excited as the next person when i read TV in the macrumors update, i don't have television service nor do i want it. there are shows i'd like to watch though, the daily show, arrested development, simpsons and one or two more. let's just say 5 shows total, well at 22 episodes per season that's $18 a month, cheaper than cable, but when you consider that you're getting about half the resolution of television it doesn't sound like such a good deal.
come at it from another direction - lost season 1 on itunes (can they really keep calling it itunes?) is $34.99, i can get the dvd box set with superior resolution, and oodles of extras for $38.99 ($59.99 msrp). i know it's two different markets, but effectively this is cream for the movie studios. the production is already done, advertising has already paid, they just spend encode the video as H.264.
i understand that they really couldn't come in with a price lower than the music because of the perceived differential in value between video and audio so they were sort of stuck.
i'll still probably use the service for shows that don't come out on DVD (the daily show) instead of bittorrent, for the same reason i use itunes now, it's more convenient. for shows that do come out on DVD though, forget it. i hope that apple would offer some sort of season pass for $20, they (apple and the studio) get money upfront, you get a discount. it wouldn't work for new shows, those would almost have to be given away free for the first season. either that or allow some sort of rebate for direct purchase of the dvd. e.g. i can buy episodes of arrested development as they come out, if i buy all 22 from a season i then have the option to order the DVD set from apple for $10.
oh and i agree with the others, front row will appear on normal macs next year, possibly as an addition to ilife, or as a complimentary package. ilife, iwork, frontrow. the mac mini will probably be the first new intel mac released and if the new imac is any indication, it will include optical audio out and a powerful enough processor to decode HD, and i will buy one the second it appears.