NEW YORK (TheStreet) -- Yesterday on TheStreet, I read Rocco Pendola's Apple Must Do a TV. In a nutshell -- or in his words, in the shell of a nut -- Pendola says that Apple (AAPL) would be more likely to succeed by focusing on a TV than the iWatch.
I couldn't agree more. While I'm not against the iWatch -- because it is likely to account for some revenue -- it won't be the game-changer that investors want.
It's really hard to introduce blockbuster product after blockbuster product. And growing revenues at a high rate for a company Apple's size isn't exactly a piece of cake either. Apple shares opened today at $530 even, down 5% year to date but up 17.8% over the past year.
I wholeheartedly agree that Apple could revolutionize the living room. But whether that's done solely with a physical TV is the real question.
My biggest concern has to do with product turnover and the replacement cycle. Unlike smartphones, there's no need to upgrade to a new TV every couple of years. Once a consumer buys a TV, the product generally lasts a long time.
For example, I've had at least three or four different smartphones in the same time that I've had one TV. As Apple is known for its superior, high quality products, why would I need to replace an Apple TV five or 10 years after I buy one?
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