Tuaw.com is claiming that the Apple TV is going to be killed off shortly in favor of an entirely new product. Whether or not thisĀ turns out to be true, it’s very clear that the Apple TV has failed.
It’s easy to see why this happened. What made iTunes and iPod so successful was that millions of users could transition their existing music over to the new digital platform. With the single purchase of the iPod, a user could instantly enjoy all of their existing CDs (and downloaded MP3s) on a simple, efficient, and portable iTunes/iPod platform.
Apple TV, on the other hand, may as well require an engineering degree. Converting and copying existing DVDs (or downloaded videos) to Apple TV is so overly complex, it kills the usability of what could be an amazing product. I personally have a computer connected to my TV that runs VNC. Needless to say, the setup is very kludgy, but it’s still easier than converting videos over to a format usable by the Apple TV.
In effect, the Apple is asking you to not only purchase the Apple TV, but to repurchase all of their videos. Likewise, while millions of TV shows and movies are now available for free on Hulu, Netflix, and dozens of other web sites, Apple TV insists that all new content be acquired through purchases.
With all of this said, there is a huge demand for an Apple TV-like device. There is no better place to consume video then on a large screen television. And with infinite amounts of content available online, a TVOIP product seems like a perfect evolution.
So the question is, how will this ultimately play out? Here is my prediction: within 24 months someone will offer a digital video device compelling enough to make consumers really start to bite. To do so, the device will:
- Have at least 500GB of storage, enough to hold 1000 hours of HD video.
- Play just about every video and music file format in existence
- Have a simple interface to queue and play streaming video from major streaming sites (Netflix, Amazon, Hulu, PBS, NBC, CBS…)
- Offer a simple drag and drop system to add and remove media over wifi from other computers in the house. This could be done through a local web interface, desktop software, and/or finder/desktop file sharing.
- Be simple to setup, configure, and install.
- Will include a simple remote, and third parties will offer software to do more complex interactions from local computers (and even mobile platforms).
- Will be compact and cost less than $300.
None of the above are all that complex, but they address the key friction points consumers currently experience. The two biggest challenges will be 1) making the system easy to use for the average consumer, and 2) not being sued out of existence by the entertainment industry.
There are a number of companies that could do this, from Apple and Amazon, to Netflix and Hulu (Netflix already has a box, but the value proposition is still too weak). The question isn’t whether Internet video is coming to your TV, but only how and when will it be delivered.
Feedback? Write a comment, or e-mail the author at lee(AT)squawkingtech.com

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