Apple took it’s stock from $80 to over $160 in under a year, they’ve redefined the media player and smartphone categories with their simple designs and vertical integration.
Is it possible or even likely that they’d do the same for HDTVs? According to an article at the Register, at least one analyst feels that way and after giving it some thought I can see it too. Instead of just stating my opinion as fact I’d like to lay out a few points so you can understand the situation in the same way that I’ve come to over the last few months.
Cable and DirecTV/Dish are dying as business models
There was a time period not so long ago when you either had Cable or Satellite television or you couldn’t get access to video content on channels like TNT or TBS. Then out of nowhere, sites like TV.com, Hulu and YouTube came out of the woodworks and everything changed. People no longer needed to stay fixed to their televisions. They could watch what they want to watch whenever they wanted to watch it as long as they had an internet connection.
Before these sites gained in popularity, millions had grown to use services like Tivo which would enable people to watch television without having to worry about commercials.
from Marketingcharts.com
This attacked the business model of these companies from both sides. They were losing money from advertisers, losing people’s time in front of the television and all the while their own Video-on-demand services left a lot to be desired. Now you’re able to make due without having to pay $100/month. People are using OTA antennas to capture HD channels and combining it with online services or mailing services like Netflix.
Apple is a position to pile on to the already growing number of companies attacking the monopolies video content providers have been able to enjoy for decades.
Other Must-Read Articles
