Yesterday we carried a rumor from the Wall Street Journal that Apple is talking with Cable TV providers about providing cable programing through an Apple TV setop box. The Wall Street Journal has now followed up with another report describing what the Apple TV setop box is supposed to be like.
According ot people briefed on Apple's plans the Apple TV setop box is blurring the destination between live and on demand content. You would be able to start any show at any time with a digital video recorder that stores TV shows in the cloud.
The Apple TV cable box is definitely more reasonable than an Apple Television. I do not see an Apple HDTV to be a huge business, but a do-it-all Apple TV box would be totally disruptive and would sell millions. Apple needs to the cable companies on board to make it happen.