Apple TV and Cable Set-Top Boxes: A Better Strategy

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If Apple tries to negotiate with networks (ABC, NBC, CBS), television content producers and cable networks, the potential content agreements could take years to hammer out. After all, the television industry doesn’t want Apple to gain a dominant, disruptive position in their market.

In stark contrast, what if Apple abandons the stand-alone set-top box and embeds that technology directly into big-screen TVs? Short term, those Apple big screens could plug into traditional cable and satellite networks while also linking into NetFlix and other on-demand Internet-based services. But gradually, Apple could hammer out those content relationships, pumping more and more content directly into its own televisions.

Yes, The VAR Guy would pay a premium for an elegant, Apple-crafted big screen TV right now. And he bets millions of consumers would do the same.