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New Apple TV to Run iPhone OS, A4 CPU & Cost $99?

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While the debate over whether the iPad is just a 'big iPod touch' continues to rage both with consumers and even inside the TrustedReviews office, here's one device which would probably benefit from simply being exactly that...

Apple TV is arguably the closest thing Apple has had to a flop other than iTunes LP for a number of years. Indeed there has been much speculation that the Cupertino company was planning to give up on the product, but now it seems that couldn't be further from the truth.

In what would be its most radical shake up since launch, Engadget claims sources have revealed to them that Apple is planning on building a new Apple TV based on iPhone OS and even the iPad/iPhone 4G internals and pushing both native and streaming content services.

This is said to result in a device which is described as "an iPhone without a screen", just 16GB of storage, full 1080p playback capabilities (720p is the current limit with Apple TV) and the option to either connect your network, dedicated external storage or directly to impending Apple cloud services which are alleged to be stemming from its purchase of lala in December. Furthermore Engadget claims the price will be just $99.

Does all this sound credible? Other than the price, yes (if you can build a screenless iPhone 4G for less than $99 expect the company's next financial results to well and truly leave Microsoft eating dust). Besides, Apple has now shown it sees iPhone OS as the foundation for everything which isn't a PC or laptop and its easy navigation system would lend itself ideally to a home media centre.

This is one rumour we'd very much like to see come true...

Link: Engadget

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