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Analyst: Apple needs an app store for the Apple TV


Kaufman Brothers analyst Shaw Wu said in a note to clients — as reported by “AppleInsider” ( — that though the Apple TV is starting to take off — Apple says sales will top one million this week — sales of the $99 set-top box just aren’t enough to have a major effect on Apple’s bottom line.

He says the million unit sales figure is “positive, but fairly immaterial.” If the device continues to sell a million units per quarter, it would amount to US$400 million in annual revenue — just a drop in the bucket for a company expected to earn $88 billion in revenue in its fiscal year 2011, Wu says.

Despite this, the analyst thinks the Apple TV is now positioned to become a “more material contributor and game changer in the TV space.” On the other hand, he believes a major catalyst for the set-top box would be the addition of an App Store, allowing users to download new applications — especially games — for the Apple TV.

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