Cook Touts Apple TV’s Success at Shareholder Meeting

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Apple (NASDAQ:AAPL) CEO Tim Cook revealed the extent of the company’s success with its Apple TV product at the annual shareholders meeting held in Cupertino, California on Friday. According to Re/code, Cook announced that Apple made more than $1 billion in revenue from Apple TV sales in fiscal 2013, including content sales via the set-top device. “It’s a little more difficult to call it a hobby these days,” he said wryly, according to Reuters.

Cook was referring to a statement made by Steve Jobs at the AllThingsD conference in 2007. “We’re in two businesses today — we’ll be very shortly in three business and a hobby,” said Jobs, per Engadget. “One is our Mac business, second is our music business, third business is the phone business, handsets. And the hobby is Apple TV.”

However, the revenue that Apple is generating from its digital media receiver shows that its “hobby” has evolved into a very lucrative business. According to Asymco analyst Horace Dediu, Apple sold approximately 10 million Apple TV units last year. As seen in graph above, created by Dediu, Apple’s so-called hobby has seen especially high rates of growth over the past two years.

As previously reported by 9to5Mac, Apple is rumored to be developing a successor to the current Apple TV device that may include new types of content and a reworked operating system. According to insider sources cited by iLounge, Apple’s revamped Apple TV device may also include the capability to directly download and play games. The rumors about an upgraded Apple TV device were further fueled by news that Apple is promoting the sale of its current device with a $25 iTunes gift card. Apple TV regularly sells for a relatively low price of $99.

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