New in OS X: Get MacRumors Push Notifications on your Mac

Resubscribe Now Close

Apple Could Sell 13 Million Televisions According to Morgan Stanley's Katy Huberty

Last week, Tim Cook shared that television was an area of "intense interest" for Apple, stoking the rumor mill once again that the company will come out with a TV at some point. Today, Morgan Stanley analyst Katy Huberty shared results from a proprietary survey of 1,568 U.S. heads of household from September. Fortune's Philip Elmer-DeWitt shares some of the results of the survey.

NewImage
11% of respondents said they would be "extremely interested" in buying an Apple-branded TV set, which translates into 13 million units in the U.S. alone. 36% said they would be "somewhat interested," which could translate into another 43 million units.

The 47% who were either "extremely" or "somewhat" interested is more than twice the 23% who said they were interested in buying an iPhone and the 21% who were interested in an iPad before either of those products were released.
Respondents who owned at least one Apple device were nearly four times more interested in buying an iTV that those who did not.

46% of respondents were willing to pay over $1,000 for an iTV and 10% were willing to pay over $2,000. On average, respondents were willing to pony up $1,060, a 20% premium over the the average $884 they paid for their current TV set.
Further, Huberty lays out three strategies for Apple to fix television. The company could become a "full-blown virtual cable service provider"; partner with existing pay-TV carriers and replace their set-top box with its own; or Apple could "bundle the TV set with its existing Apple TV" box.

Of course, there have been years of speculation about a potential Apple TV. Following the release of Walter Isaacson's biography of Steve Jobs, in which Jobs said he had "cracked" television, rumors have taken on a more fervent tone.

Related roundup: Apple TV

Top Rated Comments

(View all)

27 months ago
An Apple television... meh...

A more advanced Apple TV (the box), yes!
Rating: 35 Votes
27 months ago
An analysts best tool.
Rating: 34 Votes
27 months ago
It's funny when the analysts pull numbers out of thin air
Rating: 25 Votes
27 months ago

How is 1500 a representative sample of the whole US?


They are Heads of households. Which means they want an Apple TV but the wife will veto it.
Rating: 19 Votes
27 months ago
It all depends on the price.... and quality...
Rating: 14 Votes
27 months ago
Cant see it myself. Why would people pay for a TV just to buy content from iTunes, and stream airplay content to their TV? Instead you can buy a better tv, cheaper, and just get an Apple TV box.

Even if they add apps, it's still not a huge selling point for TV's. It's really not in the same place the mobile phone or tablet markets were in. TV systems are VERY different around the world.

AppleTV hasnt really worked so far, and slapping an app store on top of it really isnt going to make it any better.

(also for what its worth, you can get a RaspberryPi hooked up to your TV for $25, with Airplay, XBMC, Browsing, Apps, Netflix, etc).

Edit: Almost forgot - Microsoft has already started eating into the AppleTV's market with the Xbox - including this update today: Microsoft notices Xbox gamers, adds 43 new apps (http://www.theregister.co.uk/2012/12/11/microsoft_xbox_mostly_use/)

Edit2: Another thought: You have to currently Jailbreak the AppleTV if you dont want to be stupidly restricted to Apples select few video formats. The rPi (and Xbox, and every other TV addon) can do pretty much any video format.
Rating: 14 Votes
27 months ago
Considering Apple's pricing patterns, $1,000 will buy you the shipping container.

If you actually want a TV in the container, I would guess it will be A LOT more! ;)
Rating: 13 Votes
27 months ago
How is 1500 a representative sample of the whole US?
Rating: 10 Votes
27 months ago
they'll get rid of hdmi, come up with their very own standard to make it all "easy" and revolutionairy again. who needs an xbox etc right? #sarcasm

just improve the current apple tv box with a better UI, apps and siri

cant picture an actual tv taking off, at least not worldwide. theyd have to negotiate (sp) with all those content owners for each country seperately and that would be a real pain in the ass especially with all those EU regulations. we cant even get netflix or sth like hulu here cuz the government thinks its foul play or some bs
Rating: 10 Votes
27 months ago

It all depends on the price.... and quality...


Price? Quality? Lets get this straight. This is apple we're talking about here.
Rating: 9 Votes

[ Read All Comments ]