Monday, August 9, 2021 11:21 amMonday, August 9, 20212 Comments

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The Apple TV box has lost its purpose as content moves to more devices and Apple engineers lack optimism for Apple TV hardware, Mark Gurman writes in his Power On newsletter.

With an all-new Siri Remote, innovative color balance technology, and high frame rate HDR, the new Apple TV 4K delivers a big upgrade to any television by leveraging a deep integration of Apple hardware, software, and services.

Mark Gurman for Bloomberg News’ Power On:

Apple Inc. started selling an Apple TV with a faster processor and a great new remote control in April. But neither upgrade, nor the set-top box’s previous features, justify spending $199 on such a device in 2021… In recent years, the Apple TV has become a less obvious purchase for many Apple fans and content junkies. The app ecosystem is a flop, aside from big names like Netflix, Hulu, and YouTube and the occasional casual game. The box costs, in some cases, more than double what rivals sell for.

Most importantly, buying an Apple TV no longer gives users a content advantage. We are in the age of streaming services like Netflix, Amazon Prime Video and Hulu, and business models have shifted so that every service is available on every device—phones, tablets, TV sets, streaming sticks and game consoles… That made the Apple TV a mostly pointless accessory, and consumers seem to agree: 2020 data from Strategy Analytics found that the Apple TV holds 2% of the streaming device market…

If Apple wants to truly be effective, it could just cut the price of its box, make a cheap “stick” version with 4K or add features that actually make it worthwhile. But as of now, it’s hard to believe that will happen soon, especially with Apple engineers telling me that the company doesn’t have a strong living room hardware strategy and that there isn’t much internal optimism.

MacDailyNews Take: What do you expect from a “hobby?”

There should have been a $79 Apple TV stick (with a quality remote that didn’t suck) at least five years ago, but, as with smart speakers, Apple is very late to the party.

Perhaps, the rumored Apple TV + HomePod + FaceTime device will be the ticket? However, with Apple now eschewing user privacy, a camera-laden listening device for the home will likely be a tougher sell, at least to those in the know.