Apple expected to sell 24 million new Apple TVs in 2016

Sep 09, 2015

Whether or not the new Apple TV will be able to cut into the explosive growth of the PS4 and Xbox One remains to be seen, but analysts are confident that the upgraded set-top box will boost Apple’s revenue significantly in 2016.

In a note issued to investors on Tuesday and provided to AppleInsider, J.P. Morgan analyst Rod Hall said that he expects Apple to move 24 million next-gen Apple TVs in 2016, with the focus on gaming giving the device the push it needs to be Apple’s next major hardware success story.

“We believe that the combination of graphics capability and an app store in the product could be disruptive for existing console players and positive for game (developers),” Hall wrote in his note.

Combining hardware sales, app sales, the subscription fee of the rumored TV service and revenue from streaming services, Hall believes the Apple TV could account for upwards of 3.3% of Apple’s estimated earnings per share in 2016.

Beyond the new segments of the market Apple is planning to invade, Hall is also confident that iPhone sales will continue to grow at the rate we’ve come to expect from the most successful phone maker in the world. Apple “should have little trouble,” says Hall, increasing year-over-year sales in 2016 with the iPhone 6s, and he estimates a 7.9% increase over the course of the next year.

Source: BGR