In addition to an ultra-high-defitinion display (4K), Apple searched for many features that would justify building such a television set. According to the report, the company considered adding cameras that would enable video calling (FaceTime) through the set. It also worked on a prototype display that was transparent when turned off (like glass), but used lasers to display an image when turned on. Apple scrapped the display because it used too much power and the image quality was poor. It eventually patented the technology in 2010.
Apple spent nearly a decade of research on the TV set, but executives didn't consider of any of the features 'compelling' enough to enter such a competitive market. Instead of releasing an entire TV set, Apple is now focused on creating a service with an Apple TV box. The device, as has been rumored, will be announced at WWDC in June. Apple is also in talks with content providers to create a bundled set of channels that would be streamed to Apple TVs -- the company plans to begin programming this Fall.
Interestingly enough, today billionaire investor Carl Icahn wrote an open letter to Tim Cook urging a bigger buyback and noting the company was undervalued. Icahn predicted Apple entering two new product categories -- televisions and cars. Specifically, Icahn predicted Apple would sell 55” and 65” ultra high definition television sets.
Apple's next generation Apple TV is set to be unveiled at WWDC.The device is rumored feature a revamped remote with touch pad, deep Siri integration, and third-party app support. The box is itself is twice as large as the current generation Apple TV, but slimmer.