Apple have given its TV Set-top box a shuffle and discontinued its 40GB Apple TV model and also dropped the price on the bigger 160GB unit. The company have reduced the price to a very affordable $229, down from $329, thereby giving new buyers an additional 120GB of storage for the same amount of cash.

The Apple TV concept has hardly set the world on fire, the digital set-top box connected to the iTunes store and your PC media files allowing play on your tv set. What next for the Apple TV? Possibly a subscription TV episode service or addition of Blu-ray players and even more radical. Allowing third parties access to the device.

The Apple online store reflects the new Apple TV lineup. Analysts are still expecting Apple to reposition Apple TV as a cable rival. However, this will require a major hardware upgrade and new content deals to put more real TV into the Apple TV.

Whatever is happening to the Apple TV device, it is however expected that there will be a new announcement from Apple before the christmas buying onslaught.

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