[gnaffle]

I think the point to note is that _everybody_ owned a cell phone before the iPhone as well. If you look at revenue share of the mobile market, I think Apple and Samsung now dominate the entire mobile market because smartphones have higher margins (Nokia dominated previously).

Likewise, the iPad grew independent of whether the PC market was saturated or not, in such a way that the industry now separates it into a "tablet" market. But of course, people are doing stuff on tablets that they could have been doing on laptops.

I agree that if they are to sell it as their next huge product line, it has to be more than a regular Apple TV in a frame. They have to do something similar to what they did to the PC market with the iPad, and that's not easy to do in the TV market. What it needs to be, and whether Apple will pull it off, I don't know.