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Apple hasn't had trouble selling 27"/30" Displays and iMacs before, if they can handle those, they can handle a HDTV display. An Apple TV Set just needs two things:

1. Input ZERO for Airplay. When you airplay a video from your phone/iPad, the TV turns on automatically and starts playing the video without you having to find the crappy TV and receiver remotes and switching to the right input.

2. The ability to upgrade easily by just plugging in a new $99 puck whenever you want to take advantage of a new service that requires more processing speed.



These features aren't going to produce Apple margins in the TV space.




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