Mark Gurman, from his Power On newsletter:

> When Apple introduced the Apple TV in 2007, the rationale for buying one was clear: The box could store TV shows and movie files and pull media from the owner’s Mac onto the big screen. The next version in 2010 had its own unique place: It was a $99 cloud streaming device to watch Netflix, download video rentals from iTunes and AirPlay media from an iPhone or iPad. Even the 2015 model had its reason for being: the App Store.

So far, so good. But:

> Buying an Apple TV no longer gives users a content advantage. We are in the age of streaming services like Netflix, Amazon Prime Video and Hulu, and business models have shifted so that every service is available on every device—phones, tablets, TV sets, streaming sticks and game consoles. > > Apple, known for its closed ecosystem, is even embracing the shift by offering many services on smart TVs and boxes made by competitors. Those services include iTunes movie and TV rentals, the Apple TV app, Apple TV+, Apple Music and AirPlay.

And:

> That made the Apple TV a mostly pointless accessory, and consumers seem to agree: 2020 data from Strategy Analytics found that the Apple TV holds 2% of the streaming device market.

And:

> The product isn’t without its benefits, though, for the Apple ecosystem’s most loyal users. Integration with HomeKit, Fitness+, AirPods and the iOS remote app is useful. The new remote control and faster chip in this year’s version are definite improvements, and the box is getting SharePlay and Spatial Audio support later this year. Still, I don’t see these enhancements moving the needle for most people.

My guess: If Apple had to choose between Apple TV device sales and success of the Apple TV+ streaming service, they’d pick the latter. The former is a device that ages quickly (as tech gear does), requires constant renewal and support. And the latter can become evergreen (think of shows like The Office or Seinfeld, still bringing in a huge payday for their creators, with little additional investment required). Click here to see the best IPTV Apps for Apple TV.

> TV+ has started off slow. Analysis from Bernstein estimates Apple TV+ revenue of $2.2 billion in 2021, compared with $25 billion for Netflix last year. Apple’s initial content library was incredibly limited, and Covid-19 hit just months after launch, delaying new shows and filming on second seasons by up to two years.

Patience required here. I’d bet on continued growth for Apple TV+. As I’ve mentioned on The Dalrymple Report, Apple TV+ has raised the bar, with higher quality shows per capita than any other streaming service. Put another way, I’d bet that the average IMDb rating for every show/movie on Apple TV+ is higher than the average of every show on Netflix, Amazon, Hulu, etc.