Register

I agree with the Privacy Policy

The Motley Fool

Apple TV Is Finally Getting a Makeover

March 22, 2015

According to an article published on Apple Insider, citing data from research firm Parks Associates, Apple saw its share in the streaming media device market drop from 26% to just 17% in 2014. Although the report cites lower-cost "stick" alternatives from Roku, Amazon, and Google as reasons why Apple has lost share, I suspect that selling a much less functional device at a $99 price point was also a problem.

The price drop on the current models from $99 to $69 should help on the share side, but revenue and profits per unit obviously take a hit. By introducing a much more capable device with more features, faster processing, and potentially a more compact design, Apple should be able to charge higher prices and command better margins per unit.

From the article "Apple TV Is Finally Getting a Makeover" by Ashraf Eassa.

Previously In The News

6.8 Million People Say They're Ready to Cut the Cord After HBO Go Launches -- Are You One of Them?

Cable companies may be in for a rude awakening in the near future. If a Parks Associates survey is even close to accurate, droves of cable subscribers will cut the cord this spring after HBO ro...

More Evidence That Apple, Inc. Needs to Refresh Apple TV

Well, Fire TV is catching up with Apple TV and Chromecast just overtook it. We're No. 3! We're No. 3! That's according to a recent report from Parks Associates. The market researcher has rele...

AT&T and Verizon Drag On the Dow; Can Sprint and T-Mobile Really Win?

For AT&T and Verizon, the good news is that most people never switch carriers even when superior plan options become available. According to consumer data from Parks Associates, almost half of mobi...

What Investors Need to Know About the Alarm.com Holdings IPO

All things considered, Alarm.com looks like it should attract strong investor interest. Revenue continues to rise, and profitability is also improving. In its IPO filing with the Securities and...

‹
1
2
3
4
5
6
7
8
9
›