Sources tell the site that Apple is interested in forming its own pay TV service with content delivered over the Internet. Intel, Sony, and Google are trying to do the same; however, Apple wants to release its own television set.
The difference is that Apple wants to release a full-fledged television set, seeking to control the entire experience of watching TV, according to sources. Apple already sells a small set-top box called Apple TV that plugs into the back of other televisions. It’s an add-on device for watching apps like Netflix and video purchased from Apple’s iTunes store. An Apple television set, by contrast, would attempt to usurp the role of the cable box in people’s living rooms.
Cable companies are reportedly trying to prevent individual networks from signing a deal with Apple; however, Apple has apparently concluded that it does not need all or even most of the content providers on board before launch. Rather, it just needs enough good content to distinguish itself.
A deal with a top-tier content provider like ESPN or HBO could represent a tipping point that would encourage Apple to bring the product to market. Most networks, though, would be reluctant to strike deals without the participation of others, not wanting to upset their relationships with cable companies, which view Apple as a disruptive competitor.
The Apple television set is said to focus on apps from networks rather than channels. Features like search would eliminate channel flipping and make finding shows easier than ever. Of course, Apple is still interested in striking a deal with cable companies to let users plug their cable into the television set and bypass the cable box; however, negotiations haven't progressed well as cable companies are afraid of losing their profits and relationships with customers. Notably, Apple is reportedly close to signing a deal with Time Warner Cable to bring a subscriber's only app to the current Apple TV.
Much more in the extensive report linked below...
Read More [via MacRumors]