Saturday, March 12, 2011

postheadericon Apple Television Rumors and the Digital Signage Market

Rumors continue to mount around the future launch of a line of Apple television displays. Based upon the company's recent $3.9 billion investment in display manufacturing facilties, some analysts are pointing toward the eventual arrival of Apple Internet-connected TVs.

"While Apple's commitment to the living room remains a 'hobby,' we continue to believe the company will enter the TV market with a full focus, as an all-in-one Apple television could move the needle when connected TVs proliferate," Piper Jaffray analyst Gene Munster wrote in a research note Feb. 3.


Even though there still remain many outlets that question the practicality and logic behind such assumptions, one can't help but think how Apple TV displays would impact the consumer and enterprise markets.


In the scope of the digital signage and digital out-of-home industries, Apple displays would immediately find their way into high-end deployments. It's easy to surmise that if such a product line ever existed it would be priced at the top end of the category. Such is typical with Apple products. But, as history has shown, if the product's quality and aesthetics are of a high enough level, people will pay.


This is why I think Apple would realize strong results in building an Internet-connected TV division. The timing is perfect for Apple to roll out stylish flat panel displays that would challenge current models on processing power and looks. The Apple creative flare would surely make a dent in the black frame dominated world of flat-panel displays.


If such a product line were ever to roll out, I would recommend that Apple spend a significant amount of its resources on the enterprise market. The digital signage and digital out-of-home media markets alone would make an Apple display business a success. Apple-branded televisions and the company's unrivaled cache would surely win the minds and pocketbooks of Fortune 500 executives.


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