With Internet videos on TV heating up, Apple has decided to make its Apple TV more appealing. On Monday, the Cupertino, Calif.-based company announced a $100 price drop for its 160GB Apple TV, and it will no longer offer the 40GB model.
The 160GB is now priced at $229, which had been the price for the 40GB system.
The move comes only a few days after the event last week where Apple released new iPods and revised iTunes software. Some industry observers have speculated that Apple TV will soon evolve into a more varied product line, as iPods have done, and as competing products and services are emerging regularly.
Net-Based Movies on TV
Apple TV allows a user to rent or buy high-definition TV shows and movies for viewing on a TV set, as well as listen to iTunes music, watch podcasts, or see photos. Content can be obtained from Apple’s iTunes Store, YouTube, Flickr, MobileMe or any computer running Mac OS X or Windows.
While Apple’s next moves in this category are being monitored closely, the trend toward watching Net-based movies and TV shows on TV sets is growing rapidly. There are reports that Microsoft will soon allow streaming and instant-on high-definition movies on the Xbox 360.
A variety of TV manufacturers have also announced deals with online video services in recent months. Earlier this month, Mitsubishi said two of its new TVs, each with an Ethernet port for high-speed Internet access, will feature the VUDU service.
As Apple lowers and streamlines its add-on box lineup, VUDU is moving out of the separate-box category, concentrating on embedding its service into consumer devices. In the Mitsubishi sets, for instance, VUDU is part of the sets’ circuitry and software. VUDU offers more than 16,000 titles, including 2,200 HD movies, and the service also offers access to YouTube,…