View this article at: http://dev.macnn.com/articles/07/02/21/apple.tv.dvd.market
Wednesday, Feb 21, 2007 1:20pm
Apple TV may reach 30% of D...
Apple's wireless media streaming device known as the Apple TV, which is scheduled to ship this month, has at least one analyst optimistic that it will seize a formidable portion of CD and DVD sales within a few years. Deutsche Bank analyst Chris Whitmore says it's "conceivable" that the Apple TV could achieve 20-30 percent of a $26 billion market in just a few years, potentially driving $5-7 billion in incremental revenue alongside $0.50 or more in earnings-per-share for the Cupertino-based company. Apple will first profit from its near 40 million iTunes customers, according to Whitmore, with Apple TV eventually eating into the business of CD and DVD makers. The Red Herring notes that Apple signed a deal with Paramount for its iTunes Store in early January, and that Lionsgate jumped on board to offer content last week.