Register

I agree with the Privacy Policy

In The News

Why I'm Glad Apple Inc. Killed Its Smart TV Plans

May 19, 2015

There's simply no reason for Apple to jump into the crowded low-margin battlefield of smart TVs when it can sell its hardware at gross margins exceeding 40%. Steve Jobs reportedly once told employees, "TV is a terrible business. They don't turn over and the margins suck."

Perhaps Icahn will argue that Apple's brand appeal could convince people to buy $1,500 4K TVs. But in my opinion, TVs don't belong in the same category as smartphones or tablets. Plunging prices across the market indicate that customers favor big screens with low price tags, and the upgrade cycle for TVs is much longer than the one for smartphones and tablets.

In addition, Apple already has a decent foothold in the connected TV market with Apple TV, which accounted for 17% of all streaming media devices in the U.S. last year, according to Parks Associates. That makes it a decent platform for delivering iTunes, its upcoming streaming TV service, and other digital content to customers.

From the article "Why I'm Glad Apple Inc. Killed Its Smart TV Plans" by Leo Sun.

Previously In The News

Cisco Delays Home Network Product

Parks Associates estimates 608,000 households will have multiservice residential gateways by the end of 2001, but demand is expected to explode by 2004. By 2005, yearly demand is expected to be up t...

Survey Says Gaming Isn’t Just For the Nerdy. Or Is It

A survey of online gamers from 2006 by Parks Associates found that the “power gamers” that account for 30 percent of retail revenue are just 11 percent of the online gaming population. The majority...

Set top boxes to achieve 200 million sales by 2013

A The set top maker Pace has already seen a great year with increased sales and it would seem to be a trend that is set to last up until at least 2013, according to a new report compiled by Parks As...

PRI Fellow: The Future of Broadband Looks Bright

Daniel Ballon, a policy fellow in technology studies at San Francisco-based think tank Pacific Research Institute (PRI), gave a presentation on "The Future of Broadband" that looked at the market fo...

‹
1
2
...
9
10
11
12
13
14
15
...
46
47
›