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We join spokes together in a wheel, but it is the emptiness of the center hole that makes the wagon move.
We shape clay into a pot, but it is the emptiness inside that holds whatever we want.
Tim Cook, to NBC News’ Brian Williams.
Yeah, that’s about as close to a confirmation of the project as you’re going to get out of Apple…
The rumors are flying about Apple rolling out a game-changing TV, because of Walter Isaacson quoting Jobs as saying ‘I cracked it’. Some level of reserve is appropriate, I guess considering how old and entrenched the TV industry is. But, isn’t that a perfect recipe for disruption?
I’ve been talking about Apple’s push to win ‘the battle for the livingroom’ for years. Given Apple TV, and the rise of the post-PC world, Apple will obviously continue the push into the living room. Apple TV is to the next Apple Television as Newton was to the iPad. A foray, an exercise: a hobby, as Jobs said.
A pretty well-reasoned argument as to why Apple’s infrastructure - Airplay, Bonjour, Apple TV, iPhone, iPad - is going to have a big impact on games in the living room.
According to source Apple plans to “blow Netflix and all those other guys away” by bundling Apple TV iTunes inside physical television sets. According to the source Apple is teaming up with a major supplier (our guess would be Samsung Electronics Co., Ltd. (SEO:005930)), to provide the physical televisions, which will be rebranded as Apple television sets.
Looks like my hypothesis about Apple entering the TV market (see A Real Apple TV?) is becoming more likely, or at least more rumored.
As an April Fools day prank, the folks at Amnesia mocked up a 50 inch Apple TV (like the one I predicted yesterday). They have a series of photos, so check it. And they did me one better by hypothesizing a gestural interface (a la Kinnect) instead of a touch screen. I stand corrected.
Apple is rumored to have hired Tomlinson Holman as its new audio chief. Holman is the guy behind all the THX patents:
Darrell Etherington, Apple Said to Have Hired the Audio Genius Behind THX
If Apple has indeed brought Holman on board, it could signify big things in store for Mac, iOS and even iTunes audio. Apple already builds optical audio out into all new Macs, via the headphone port (it works with optical TOSLINK cables using an adapter), which can provide true surround sound from your computer to your home theatre system, but it could stand to improve the quality of its built-in Mac and iOS device speakers and headphones. There have also been rumors that Apple may be looking to improve the sound quality of iTunes audio files, which is definitely something Holman could assist with.
What about a new generation of Apple audio devices?
And the battle for the living room, with streaming video — instead of broadcast TV — as the dominant use of ‘television’ sets. Apple could be planning to roll out a new product line, based on its already amazing displays. Something to replace the Apple TV device, which is not a TV at all, but an internet appliance.
Imagine a real Apple TV: iOS, wifi/ethernet connection, an app store to support various streaming options like Roku has now, and some fixed speakers. Touch screen, as well as being controlled through iOS devices. And the ability to push audio through wifi to other wifi-enabled speakers.
Basically the mutant offspring of an iPad and a Cinema Display. And with THX-style speakers.
Once again, media watchers fail to connect the dots. In this case, the tectonic shifts underlying TV are missed while the details fill the discussion:
A New York Times/CBS News poll this month found that 88 percent of respondents paid for traditional TV service. Just 15 percent of those subscribers had considered replacing it with Internet video services like Hulu and YouTube.
Younger people, though, are more intrigued by the possibility: respondents under the age of 45 were significantly more likely than older ones to say they had considered replacing their pay TV service. The poll was conducted Aug. 3-5 with 847 respondents and has a margin of sampling error of plus or minus three percentage points.
Even through the downturn, the number of people subscribing to pay TV continued to grow. Cable, satellite and fiber-optic providers added 677,000 customers in the first quarter of this year, according to the investment firm Sanford C. Bernstein.
The firm’s preliminary numbers for the second quarter, which is traditionally weak, show a slight drop in subscribers. Satellite providers and Verizon’s FiOS service have been stealing market share from cable.
The cable and satellite companies say that their customers are reluctant to pay more — the Comcast chief executive, Brian L. Roberts, described customers who paid only for video, without a bundle of other services, as “very price-sensitive” — but insist that cord-cutting has not been an especially disruptive trend.
To keep customers, especially the price-sensitive ones, the carriers are getting creative. They are trying to bring the living-room experience to every other screen in a customer’s home, including laptops and tablets. Last week Verizon became the latest carrier to announce plans for an app that puts live TV on the iPad, pushing out the walls of cable TV’s walled garden a bit.
lenty of people say they have foresworn cable for good. They are largely young adults who know their way around the Internet and have grown accustomed to watching video on computers and other devices.
The Times/CBS News survey found that people under the age of 45 were about four times as likely as those 45 and over to say Internet video services could effectively replace cable.
All the kvetching about whether a specific show is available on the pioneering tools today completely misses the point. The reason that the TV experience is going to move to the web is that the web is social: people want to discuss the football game with friends, share movies, and vote on who is the best dancer. And the younger folks more than older ones.
The race to provide the best social TV experience is on, and although Apple hasn’t really rolled out any strategically important social tools yet, I bet that their next generation iTunes in the cloud — based on the huge server farm called ‘The Orchard’ — will start to incorporate social features, along with an industry-changing capability to live stream recorded, and not too far down the pike, live TV.
This will be as transformative to TV as the iPod and iTunes were to the music business.
The natural unit for music is a song, not albums, as iTunes proved.
The natural unit of TV is the show, not a series, not a channel, and not a bundle of TV channels. This is what the networks and the cable companies are about to find out.
And the experience will be social, which is how people watch TV: talking, yelling at the screen, texting their friends about the last play, voting. The cable and network businesses have completely missed that revolution. Look to Apple to blow that open.