The set-top box is now a “beloved” hobby of Apple’s, CEO Tim Cook says

Oct 26, 2012 11:41 GMT  ·  By

Here’s one key takeaway from Apple’s Q4 – 2012 conference call yesterday that rumor lovers are going to enjoy reading about. It seems Apple has sold so many units of its black-box hobby that it might just upgrade users to the full TV experience in the near future.

During yesterday’s earnings call, Apple CEO Tim Cook dished out relatively satisfying figures recorded in the company’s fourth fiscal quarter for 2012, including the number of Apple TVs sold in the quarter and throughout the entire year.

Cook confirmed to investors that Apple had sold 1.3 million set-top boxes in Q4 alone, stating “that’s up over a 100 percent year-on-year.”

He added, “That means that we sold more than 5 million Apple TVs during the fiscal year, which is almost double the previous year.”

Assuring investors and analysts alike that his company continues to look at the possibilities of broadening the product’s scope, Cook said, “And, so, the business continues to do very well.”

“But, if you look at the size of revenue of this business versus our other businesses, it’s quite small. So, it still has hobby label. However, it’s beloved hobby. And, we continue to focus on it and continue to believe there is something more there,” the Apple CEO noted.

Apple has been calling the Apple TV a hobby for years. Now however, it seems to have been upgraded to “beloved” hobby.

In a year or two, if the aforementioned trend continues, Apple might finally oust its full-fledged big screen TV, as predicted by many Wall Street analysts, including the well-known Gene Munster with investment bank Piper Jaffray.

The Apple TV acts as a hub for various video-on-demand services but doesn’t actually provide live television programs in the way a regular TV set does. Apple’s puck-sized box is an Internet-connected device that has immense potential, analysts believe, should Apple convince the cable companies to sign deals for content distribution.