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Apple analyst Ming-Chi Kuo predicts that Apple could launch a cheaper Apple TV model in the second half of this year. According to Kuo, this better price will be aimed at closing the company’s gap with its competitors amid the recession.
Apple will launch a new version of Apple TV that improves cost structure in 2H22. I think that Apple’s aggressive strategy of integrating hardware, content, and service amid the recession will help close the gap with its competitors.
— 郭明錤 (Ming-Chi Kuo) (@mingchikuo) May 13, 2022
Currently, the Apple TV HD starts at Rs 15,900 for the 32 GB version and the Apple TV 4K starts at Rs 18,900. Kuo didn’t go into the specifics of what a cheaper Apple TV would look like but a cheaper device would put it more in line with competing devices like Amazon’s Fire TV Stick 4k Max which starts at Rs 6,499.
With the 4k version of the device starting at just Rs 3,000 more than the 1080p-only version, the latter currently looks like a really poor deal. It could be possible that Apple is trying give customers a more budget option that is significantly cheaper than the 4k Apple TV.
According to The Verge, Apple TV is well known for its EDID (Extended Display Identification Data) capabilities. EDID gives information to set-top-boxes or other video output devices about what display they are plugged in to. Apple TV reportedly supports a wide variety of home theater standards and formats, making it the “gold standard for professional home theater installers,” according to the publication.
This means that the Apple TV is more likely to exactly identify the capabilities of your TV and output content accordingly. For example, if your TV supports HDR, the device is more likely to detect that and output content because of its better EDID capabilities.
But despite this, the relatively higher pricing of the streaming devices from Apple puts it out of reach for customers looking at a budget streaming experience. This also creates a problem for Apple’s streaming and advertising business as customers are more likely to use Apple’s service if they already own an Apple TV or another device.
That could be where the cheaper Apple TV comes in: a great mid-way spot between the cheaper alternatives in the market that still offers some of the great features and capabilities of its more expensive 4k big brother.
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