According to a report from AppleInsider, Piper Jaffray analyst Gene Munster first noted a shipping wait time for the lower-end model and predicted the phase out. He also said a major interface upgrade should be coming at some point in the future, most likely based on an iTunes subscription service, but negotiations with content providers might still take some time.
Apple hasn't quite found success with its set-top box the way it has with the iPhone and iPod, but lower prices along with a subscription model à la Netflix might be a step in the right direction. In addition to this, Munster predicts that a new Apple TV would also potentially include DVR capabilities, and that ultimately Apple could offer a full-fledged television set with built-in media syncing capabilities in the next two to five years.
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