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This Little $35 Device Could Change the Smart TV Market

August 22, 2013

According to a survey from Parks Associates, 37% of homes with streaming media devices in the U.S. currently use Roku, compared to 24% using Apple TV. Since 2011, the number of households using an Internet streaming device rose 14%, with much of that growth attributed to video streaming sites like YouTube and Netflix.

For Apple, Apple TV has never been a meaningful source of revenue. However, a persistent rumor suggests that Apple will release a full-featured "smart television" on par with current products from Sony and Samsung to erect a third pillar of growth. More far-fetched rumors claim that the Apple TV will not only be a full-featured smart television, but will come with second-screen tablets and a ring-shaped remote control.

With the arrival of Chromecast, a full-featured Apple smart television seems unlikely, since it will be a substantially lower-margin business than its current set-top box. Sony and its Japanese industry peers have spent years dragged down by the ailing television business, which doesn't make it a lucrative market to dive headfirst into.

From the article, "This Little $35 Device Could Change the Smart TV Market" by Leo Sun.

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