Apple Inc's Future Apple TV Expected to be Major Driver to Move Stock Closer to $1,000
By Reissa Su | February 14, 2014 7:46 PM EST
The new Apple TV, one of Apple Inc's most anticipated products in 2014, may be closer to reality as the Wall Street Journal supported an earlier report by Bloomberg. The latter said the new Apple TV may be in the middle of negotiations for content, citing Time Warner Cable as one of the possible providers for content services.
Apple Inc CEO Tim Cook speaks about the new iPad Air and the iPad mini with Retnia display during an Apple event in San Francisco, California October 22, 2013.
The Wall Street reported new information and said Apple Inc may be scaling back on the new Apple TV due to the alleged pressure from content providers.
Apple Inc is reportedly in discussion with at least two big media organisations. The iPhone maker wanted to work with cable companies and not become another competitor. Apple claimed it wants to depend on cable companies to acquire programming rights from the big media organisations.
New Apple TV to drive share price closer to $1000?
With the release of the new Apple TV, investors may be interested to see if the rumoured new product can drive stocks closer to $1,000 as earlier predicted.
In another previous report, Apple Inc was reported to be testing hardware for its new Apple TV which includes a tuner with a Game Store model and a "revamped App Store." According to reports, references to Apple TV have been discovered in iOS7 files.
While Apple Inc and its CEO Tim Cook are looking forward to "big plans" in 2014, analysts have speculated that the company's stock could reach $1,000 after hitting the $705 mark in September 2012. Since hitting that all-time high, the Cupertino-based tech giant has lost steam. Since the release of its latest products in 2013, Apple may be steadily approaching a high stock price that may surpass the record-breaking $705 per share.
Money Morning analyst Michael Robinson believes Apple Inc may reach $1,000 per share in two years. Some analysts have previously predicted the company may hit the 4-digit mark by the end of 2014.
Mr Robinson said Apple Inc has become great in cross-selling and upselling its products. He believes Apple will use its iPhones to penetrate China and grow its market share. After introducing the iPhones, Apple will then push the iPads, Mac Books, Mac Pros, Apple TV and iTunes to Chinese customers, according to Mr Robinson.
Apple Inc began the year with the opening of its official store on Tmall, a popular online marketplace owned by Chinese e-commerce company Alibaba. Tmall was launched in 2008 with 70,000 merchants and brands on board which included Gap Inc and Nike Inc. According to Bloomberg, Apple Inc will soon open another store in mainland China. Apple CEO Tim Cook is planning to open 22 retail stores in greater China.
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