Hobby turns hit: Apple TV on pace to sell 1 million units per quarter

Apple Online Store“Apple (AAPL) seems to have a modest hit on its hands with the new Apple TV box,” Eric Savitz reports for Barron’s.

MacDailyNews Take: That “box” is so tiny, it’s more like a “puck.” (Plus, it’s snappy compared to our old Apple TV units!)

Savitz reports, “JMP Research analyst Alex Gauna writes this morning that the device is selling out in many of the company’s U.S. retail stores. The analyst reports that checks find that ‘the new Apple TV product has continued to sell out in Apple stores across the nation after its launch last week.'”

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“Gauna believes Apple TV is selling at a pace at least one quarter to one third that of the iPad, or at least 1 million units a quarter,” Savitz reports. “He says the $99 price point ‘is resonating with consumers.'”

Full article here.

[Thanks to MacDailyNews Reader “Fred Mertz” for the heads up.]

54 Comments

  1. Consumers are wising up now to the bullshit half assed technology they have been saddled with for years…

    Apple products are trouble free simple a joy to use and have the best product and tech support, not to mention advances and ground breaking integration and uses.

    Apple is boss.

  2. Consumers are wising up now to the bullshit half assed technology they have been saddled with for years…

    Apple products are trouble free simple a joy to use and have the best product and tech support, not to mention advances and ground breaking integration and uses.

    Apple is boss.

  3. The size, $99 price point plus apps potential is what is going to set it apart from Google TV – besides the fact that it will require no more brain power than to just be able to pug and play. Google TV sounds confusing and jumbled. Steve Jobs said Apple listened to its customers. They wanted something simpler, smaller and cheaper. Is it any wonder they went with the puck design? Next to a black plasma or lcd tv, you won’t even be able to see it. I plan on mounting it to the back of my tv. Once again, whether true or not, Google looks like the follower on the tv front.

  4. The size, $99 price point plus apps potential is what is going to set it apart from Google TV – besides the fact that it will require no more brain power than to just be able to pug and play. Google TV sounds confusing and jumbled. Steve Jobs said Apple listened to its customers. They wanted something simpler, smaller and cheaper. Is it any wonder they went with the puck design? Next to a black plasma or lcd tv, you won’t even be able to see it. I plan on mounting it to the back of my tv. Once again, whether true or not, Google looks like the follower on the tv front.

  5. For the first time, an Apple TV is quite appealing, and I’m strongly considering buying one myself. I am heartened that Apple finally recognizes that ATV is meant for Christmas sales and moved its product refresh cycle from January(!), which was possibly the worst time of year for this product.

    That said. I remember the Apple TV 1.0 and Apple TV Take 2 as having big bumps in sales during their first quarter too, but those bubbles burst in the second quarter after release. Therefore, I’m cautious about calling it a hit just yet.

  6. For the first time, an Apple TV is quite appealing, and I’m strongly considering buying one myself. I am heartened that Apple finally recognizes that ATV is meant for Christmas sales and moved its product refresh cycle from January(!), which was possibly the worst time of year for this product.

    That said. I remember the Apple TV 1.0 and Apple TV Take 2 as having big bumps in sales during their first quarter too, but those bubbles burst in the second quarter after release. Therefore, I’m cautious about calling it a hit just yet.

  7. To me the pricing is key. If you take iSuppli’s BOMs estimate at $64, then typically Apple would have priced it at about double to get their usual margin. That means pricing would normally be $129, but lowering the price to $99 helps psychologically. It’s like the Kindle. When that thing came out, I always said it needed to be $99 for it to be a hit, and free for those who buy a dozen books a year for 2 years or something like that.

  8. To me the pricing is key. If you take iSuppli’s BOMs estimate at $64, then typically Apple would have priced it at about double to get their usual margin. That means pricing would normally be $129, but lowering the price to $99 helps psychologically. It’s like the Kindle. When that thing came out, I always said it needed to be $99 for it to be a hit, and free for those who buy a dozen books a year for 2 years or something like that.

  9. Who ever wants to get a ATV better get it now before iOS 4.2 comes out or else your going to have to wait a bit until Apple ramps up production. When 4.2 comes out, Steve is going to show his cards on what the new ATV can do. It will be a game changer and it will leave Google TV in the dust.

  10. Who ever wants to get a ATV better get it now before iOS 4.2 comes out or else your going to have to wait a bit until Apple ramps up production. When 4.2 comes out, Steve is going to show his cards on what the new ATV can do. It will be a game changer and it will leave Google TV in the dust.

  11. At $99, Apple TV is going on our Christmas list for both my wife’s parent and my parents along with a 30 day Netflix trial and iTunes gift card. It’s something they will definitely use, but probably wouldn’t buy for themselves. I think they’ll be selling a ton of these this season.

  12. At $99, Apple TV is going on our Christmas list for both my wife’s parent and my parents along with a 30 day Netflix trial and iTunes gift card. It’s something they will definitely use, but probably wouldn’t buy for themselves. I think they’ll be selling a ton of these this season.

  13. I have reason to be mildly bummed that it’s so popular. I’m not the type who pre-orders, so I figured I’d pick one up when it came out. Har har, laugh’s on me. Guess I’ll have to wait a month.

    I hope this doesn’t turn out like the fun I had trying to buy a f***ing Wii for my wife back when that came out.

    ——RM

  14. I have reason to be mildly bummed that it’s so popular. I’m not the type who pre-orders, so I figured I’d pick one up when it came out. Har har, laugh’s on me. Guess I’ll have to wait a month.

    I hope this doesn’t turn out like the fun I had trying to buy a f***ing Wii for my wife back when that came out.

    ——RM

  15. The new TV is both faster and more dependable than the previous incarnation. It streams remarkably well– much better than the older model — and it runs so much cooler (no more bisquit baking in my stereo cabinet…). I miss some of my screen saver options though. Overall, I am very happy that I got this new unit.

    For people outside the Apple universe, Roku has a lot of appeal. But if you have a Mac, iPhone, etc., the TV is the way to go for integration.

  16. The new TV is both faster and more dependable than the previous incarnation. It streams remarkably well– much better than the older model — and it runs so much cooler (no more bisquit baking in my stereo cabinet…). I miss some of my screen saver options though. Overall, I am very happy that I got this new unit.

    For people outside the Apple universe, Roku has a lot of appeal. But if you have a Mac, iPhone, etc., the TV is the way to go for integration.

  17. There are a lot of people with iPads, iPhone, and iPod touches… and iTunes users in general. This appeals to them, especially once airplay (fully) kicks in.

    The old one was worth it for me as a great iTunes/iLife media bridge. For $99 (and no more scorching heat), this is a no brainer for a lot of people. I know several people who just bought their 1st aTV. One said the nearby Apple store was sold out when he went.

    Bottom line, clearly it will sell more than the previous. 1M unit per quarter is probably a low estimate… but that’s pretty good for a hobby.

  18. There are a lot of people with iPads, iPhone, and iPod touches… and iTunes users in general. This appeals to them, especially once airplay (fully) kicks in.

    The old one was worth it for me as a great iTunes/iLife media bridge. For $99 (and no more scorching heat), this is a no brainer for a lot of people. I know several people who just bought their 1st aTV. One said the nearby Apple store was sold out when he went.

    Bottom line, clearly it will sell more than the previous. 1M unit per quarter is probably a low estimate… but that’s pretty good for a hobby.

  19. “Apple TV, betcha can’t have just one” @ $99. I got one already but now I need them for at least two other rooms. Lots of people like me so Apple can count on lots of multiple ATV sales from a single household. That price makes it much more doable.

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