Apple TV takes on Wii

Apple has challenged the smart phone industry with the iPhone. However, I'm not so sure we saw the challenge coming to the handheld gaming
industry with the iPod Touch. Apple didn't target handheld gaming, the market just pushed their products there said Jobs in a recent interview.

Apple will release new Apple TV hardware. The primary addition will be an improved controller. Like the Nintendo Wii controller, and so many Apple products, the new controller will contain an accelerometer. This will speed text entry and add tilt input for applications and gaming. With each passing day iTunes makes more headway with the sale and rental of television, movie, music, and application content for Apple's platforms. Driving applications into the Apple TV is a logical and simple next step. Apple already has a devoted and thriving third party developer base and can shift that development and distribution framework over pretty easily to the Apple TV. We'll start to see Apple TV ports of all our favorite iPhone applications first. The Apple TV will become a serious contender to the console market and the Nintendo Wii, just as we saw the iPod Touch become a contender with the Nintendo DS.