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Will a New Apple TV Upend the Video Game Console Market?

NuStand Alloy Apple TVFew know whether Apple will release the long-rumored Apple TV update at Wednesday’s big event in San Francisco.

There’s a huge opportunity for them if they do so, but it’s not all about streaming TV shows and movies… though that’s very awesome. The biggest game changer could be the gaming market.

Think about it. If Apple links up console-style gaming to an Apple TV with the graphics capability of a PlayStation 3, it could turn the gaming industry completely upside down. Fewer people would be looking toward $300-$400 gaming consoles with $50-$70 games, and instead might look at a $149-$199 (depending on where Apple’s final pricing would land) streaming and gaming device with games ranging from $0-$50 that are easily bought from Apple’s App store. It’s a market opportunity ripe for the taking.

Major Shift
The last time a major shift like this occurred was when the PlayStation 2 hit store shelves in the year 2000. Essentially, it had better graphics capabilities than almost all arcades at the time. And the main reason to go to an arcade was for the better graphics and the social experience.

Once players started getting better graphics at home, most arcades died within mere years.

Changing Expectations
In the end, the Apple TV could change the expectation game of pricing for a console, as well as price per game. The impact it will have on the roughly $91.5 billion dollar per year gaming market could be huge.

Time will tell. And we’ll see what Apple has up its sleeve next week!

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