Piper Jaffray analyst Gene Munster has offered three possibilities for content on the mythical ‘iTV’, which according to his predictions will be released within a year, Fortune reports.
These three possible scenarios were taken from a note to his clients:
1. The simplest scenario – Apple could simply enable its television to manage a consumer’s live TV service from within a unified interface much like TiVo does, partnering with MSOs (i.e. the cable companies). [..] In some ways, a connected TV’s software is the biggest differentiator that Apple can bring to the table, so this option could still result in a new and fresh product for the television market. Apple could also supplement this with its iTunes Movie rental and purchase service directly on the television.
2. Live TV + Web combo – Apple could offer access to live TV from network channels in combination with other web-based video services. One middle-of-the-road option could be for Apple to deliver live TV from network channels (either over the internet or over the air) to the Apple Television. Apple could then leverage a new App Store for the Apple Television to supplement the basic live TV features with Netflix, Hulu Plus, or any content provider that chooses to build an app for the television.
3. iTunes television subscription – Apple could offer monthly subscriptions, on an a-la-carte basis, for live TV packages with content from content providers. […] Such an offering would be unlikely given existing licensing arrangements between content providers and service providers as well as the fact that it lies outside of Apple’s core competencies, even in media.
Considering Steve Jobs’ apparent dislike of subscription based services, option three is highly unlikely, but the two first ones are very plausible, especially scenario two.