Apple is known for high profit margins on its consumer electronics, but according
iSuppli Apple is only making $62 (or about 20%) on each Apple TV. As you'd guess, the most expensive component is a slimmed down version of Intel's
Pentium M processor at about $40, and the cheapest is the $0.75
RealTek audio chip. The
new 160GB version's margin is much nicer at more than 30%, but only because Apple charges a $100 premium for an option that only costs an extra $36 to make.
Hobby indeed. Of course the obvious reason is that Apple plans to make up the cash selling content, and maybe even more importantly: to get into your living room. While this seems like a great plan and all, we can't help but get stuck on the fact there still isn't
any HD content from Apple for a device that
supposedly requires an HDTV.
Reader Comments (Page 1 of 1)
Dominic @ Jun 6th 2007 5:07PM
yeah, although it's a small margin, it's "something". Probably expect more items to be sold when iTunes will finally start selling HD content...err, at least I hope Jobs plans to announce it next week.
Patrick Ready @ Jun 6th 2007 9:21PM
You can get HD content on AppleTV. Subscribe to the "Hidden Universe HD" podcast and then sync it on your AppleTV.
L J @ Jun 6th 2007 9:39PM
I've got a quick grammar question.
Isn't it correct to use 'an' before HDTV? A HDTV just sounds really weird to me. I think its probably because some pronounce H as 'aytch', where as others pronounce it as 'haytch'? Technically, the use of "an" before something that starts with H is grammatically correct. You don't say "the word starts with a H" you say "it starts with _an_ H". My understanding is that "an" is to be used before words to connect with a vowel sound, not just a vowel itself. Its awkward to say two vowel sounds in a row because you have to stop the stream of air completely to make the distinction.
Johnny Rotten @ Jun 7th 2007 11:08AM
@LJ
WTF? Hey, go spew your spittle to someone who gives a flying f#ck! This ain't no damn school room!
Now git on outa here a'fore I quite pulling my punches and Ago all play ground bully on you ya snot-nosed four-eyed limp wristed fruitcake!