They could add more storage that's for sure.I can't imagine what else they can really do it right now. I think the next big update is going to be an App Store with more channels. It can do 1080P, it has the needed connections. Only thing I can they could add hardware wise is wireless HD connections but I just don't see that happening. I think they will ride this a while with just software updates until the figure out what they are going to do.(i.e. build a TV, build a DVR/cable box, or just stick with streaming)
Too bad, ATV2's in my area are going for around $200!shortyana said:Go buy one now. It is great. I love the IPad mirroring. Plus if a new one comes out you can alway upgrade after they work all the kinks out of the new product (usually takes more than a month) and sell your old one. I have never had an issue selling my older Apple product and usually get 75% of what I originally spent. When I bought the latest Apple TV for $99 I sold my old one on Craigslist for $50. I realize thats only 50% but I sold it the same day I bought the new one.