Yesterday, to the fanfare of cord cutters and yes, even cord lovers, Apple announced its first update to the Apple TV in three years. The new Apple TV looks similar to the old device, a slim black box, but the new one boasts better guts, a faster processor, a sleek new remote, voice command capabilities, and perhaps most importantly, access the new tvOS App Store filled with specialized Apple TV apps.
Though Apple CEO Tim Cook may have delivered a bit of puffery and salesmanship for the sake of the press event (after all, Xfinity’s X1 already offers voice command), the new Apple TV through its App Store does in fact mark another important and exciting new development in how consumers can watch TV. And likely another win for Apple.
Apple’s announcement confirms how far the video device marketplace has evolved in the last ten years. The list of retail devices continues to grow every year – Roku, Amazon’s Fire TV, Google’s Chromecast, Microsoft’s Xbox, Sony’s PlayStation, TiVo and smart TVs are all in the mix. Cable providers have responded by improving the user-experience of their video devices in order to differentiate themselves from competitors. That’s why Comcast created Xfinity X1, a cloud-based guide that makes watching TV and exploring content more reminiscent of swishing through an iPad than clicking through a classic cable guide. In the same vein, Cox has built Contour and Charter has begun releasing World Box. And several cable providers are partnering with TiVo for customers who enjoy that experience. Competition for eyeballs (and the tools that connect to those eyeballs) is fierce. It has been for some time and the way we see it, the new Apple TV, while a great conduit to cable programming via iTunes download and specialized programmer and operator apps, is direct competition.
But this kind of competitive innovation is opening up a world of possibilities – especially for app makers. The TV experience is constantly changing and innovation in the app space is where it’s changing the fastest and to the greatest effect. Apple CEO Tim Cook said it most succinctly when he proclaimed, “The future of TV is apps.” We couldn’t agree more. Programmer provided apps like HBO Go and Watch ESPN and operator apps like the ones offered by Comcast and Time Warner Cable are merging the traditional cable TV experience with the new, app-driven digital experience. It’s a collaboration that’s working. These apps have been downloaded millions of times and are available on 460 million connected video devices – twice the number of leased set-top boxes.
Some may say it’s strange to think that cable companies support connected devices like Apple TV. Yes – they’re direct competition and may encourage some to cut the cord. But they also offer cable operators, cable programmers, and web streamers like Netflix and Hulu a chance to completely re-design how they deliver their great content. Streaming apps, TV Everywhere apps, program specific apps, show download apps, show rental apps, DVR apps, time shifting apps – Tim Cook is right: the future of TV is apps. And we can’t wait to show off what we can do.