Apparently the box won’t be capable of handling (or enabled to
handle) 1080i or 1080p video. Instead it will only push out 720p
clips. The word — and cause for much internal debate, we’re told
— is that this has something to do with the A4’s inability to
crank on higher resolution content, but we don’t see how that’s
possible considering the iPhone 3GS could play back full HD video.
Furthermore, the device will be getting apps and presumably an App
Store entry, though it’s unclear if there will be
cross-pollination between iPad and iPhone / iPod touch offerings
and new Apple TV applications.