Update now, says Apple. [TUAW]

The goal here is simple: Play all the videos that I have ripped from DVD, downloaded from the web, shot with my own cameras or obtained in some other manner, no matter what the format. It sounds simple but Apple TV can’t do it. Video codecs and containers are a nightmare to keep track of, and even more of a nightmare to convert.

This isn’t about photos and music. Apple TV is better at both of those than any of this stuff. It’s also not about renting movies or buying movies, or even streaming movies. Roku has a nice cheap box for that, and Apple TV is suitable if you just want to live inside Steve Jobs’ media store. This is about playing non-DRM movies, pure and simple.

The names might be familiar to you: The Popcorn Hour C-200 by Syabas is quickly gaining cult status (and has its own hacker wiki), while the other four smaller boxes come from brands you probably have experience with, including WD, Seagate, Netgear and Patriot.

My two main tests were simple — I loaded PC and Mac formatted external hard drives with a variety of files ranging from H.264 MP4s to WMVs of several vintages, from raw AVCHD files in MTS wrappers to the hot new DivX 7 MKV. Then I browsed through my local network to a NAS that had a cache of similar files. Could I see them? Could I play them? These shouldn’t be issues, but they’re big issues.

Here’s a rundown of each machine and how they fared in testing:

As you can see, there were clear leaders given my criteria above, but what struck me was how each one differed. Truth is, depending on who you are, any one of these might be the best fit. Here’s what really separates them:

WD TV Live

I would have given this thing the solo spot at the top if it weren’t for a few dings that might very well be fixed in a firmware update: It won’t show you DVD menus on ripped DVD images, and when you play files with the suffix .m4v it won’t fast forward or rewind. Weird bug that can be fixed if you just change .m4v to .mp4, but since that’s the default file naming for Handbrake’s “Apple TV” profile it could be a problem for people, like me, who spent months ripping their entire DVD collection that way.

WD’s strengths include a friendly user-interface with handy video previews, some promising early online services (including Pandora), and the most reasonable photo and music handling I’ve seen in this cluster of gadgets.

Seagate FreeAgent Theater+

I loved this when I tested it a few weeks ago, despite its fugly interface, and it holds up under testing. It does better with ripped .ISO files than WD, doing both DVD menus and chapters (and it doesn’t have that weird .m4v bug either). Video was better, especially when running 1080p content.

The tradeoff is that the interface is bad, and there’s almost nothing in the way of online services. It gets points for making an attempt at sorting music and displaying photos, but if that’s a priority, WD is the better call.

Popcorn Hour C-200

Hardcore AV nerds love this thing, and I understand why. There are more ways to get at video content than in any other set-top box I’ve ever seen, and if you really know how to hack, there’s really not much it can’t do.

It’s a big ole thing — they call it a “network tank” and — despite reminding me of the far cooler ones in Tron — I get it. It has an internal BitTorrent client and you can plug in a Blu-ray drive, for god’s sake. I found very few video formats that it wouldn’t support (FLV was one) but I had to take major points off because for being so big, it has a lame interface, and it comes with an RF remote that only worked when I stood within 1m of it. They even mention that there might be problems with interference, and if people experience that they can buy the IR remote. Great, thanks.

My only question — and it’s not rhetorical — is why spend $US300/$AU599 on this (plus extra for the optional internal HDD and the IR remote) when you can just buy a home-theatre PC?

Patriot Box Office

This was the dark horse of the group, being a late entry by a company known only for computer memory. I was surprised at how well it held up. It actually could decode more tested formats than any other device in this lineup — it did Flash video (FLV), which the three above can’t render. Only the WD and the Patriot show you video previews, too. As small as it is, there’s space for a 2.5-inch SATA drive in there and even a BitTorrent client. You can copy files to and from different drives and the network, and it’s the cheapest of the lot at $US130.

So why did it come in a distant third? Unlike the three above, it can’t read Mac-formatted hard drives, and its video quality was noticeably the worst of the batch. That said, if you are a hacker sort and want something to play with that doesn’t cost as much as Popcorn, set your sights on this.

Netgear Digital Entertainer Live

As you can probably tell by now, Netgear had the most disappointing box of the lineup, despite its Apple TV ripoff look and feel. Lack of Mac media support and the inability to read key file formats — like DivX 7 and AVCHD — meant it couldn’t pass muster with real video fanatics. Its biggest point of woe was the fact that it didn’t support any file over 720p in resolution — whether that’s a software thing or a hardware thing, it’s sure not future-proof and probably best to stay away.

I also didn’t like the fact that its interface is laid out entirely for retail, like an Apple TV without the panache, or a Roku box that costs more and doesn’t do Netflix. Local files were not a priority, and despite the friendly interface, it doesn’t even make an attempt to differentiate photos and music. I did give it a gold star for online services, but only because it had the most in this group — if online services are what you love, buy a Roku, or a TiVo, or an Xbox, or a friggin’ Apple TV.

Still not sure what you’re looking for, check the spec comparisons here:

But don’t hold your breath on it happening yet: Peter Kafka has “yet to hear of a single programmer that has made a firm commitment”. As he points out, while networks are constantly looking for new revenue, like those arsehole aliens in Independence Day moving from world to world consuming every natural resource, they’re nervous about the idea for a lot of reasons.

A lot of it has to do with the icky, sticky relationships between networks and pay TV operators, where everybody’s worried about losing out as people start to watch more and more TV content online, not in their living rooms — where streaming video eats up bandwidth, and advertising revenues aren’t nearly as rich (which is why Hulu wants to figure out new ways to get you to pay).

While these little complications might slow the process down, the exodus is inevitable. There’s no stopping this. The internet is the new pay TV: Netflix, Hulu, BitTorrent. Apple might not get to launch it in a few months, but it will happen. Just give it time. The actually crazy part, if you ask me, is that the Apple TV might even live up to its name. [Hulu]

1. New Home Screen and Tweaked UI

The old home screen had a grid of categories, including Movies, TV, Music, Settings, etc. Now the home screen is horizontal, with all of those same categories running across. Besides mere orientation, the major difference is subtle: Apple TV anticipates what files you’re going to want fastest, and puts them above the category in Cover Flow. Click the up arrow to get to the speed rack. The rest of the “new user interface” doesn’t seem very new at all. Buffed a bit, shinier in places, but honestly, it’s not full revision’s worth of new user experience.

2. Genius DJ Playlists

My wife is a huge fan of the Genius option, because she doesn’t want to spend an hour making a playlist, but she also doesn’t want any of my unexpectedly angsty rock messing up her Beth Orton-fuelled revelry. Apple TV finally gets what a lot of Apple products have had for a while. Yippee.

3. Movie Extras and LP Compatibility

If you are so devoted to Apple’s music and movie retail operation that you care about Extras and LP, visual portals that lead to the main content plus some token extra stuff, then you probably already are excited that Apple TV has this. As much as I am not into it myself, I do admit LP and Extras look much cooler on a TV than they do on a computer.

4. Improved Syncing

iTunes 9 means that, like the iPhone and iPod, there’s more refined sync features — you could select particular movies before, but now you can select individual artists, specific TV episodes and iPhoto events as well as albums. This is closer to full manual control, but it’s not full manual control.

6. No DivX

“This file was not transferred because it is unable to be played on Apple TV.” Steve Jobs once said that only 4 per cent of music on iPods came from iTunes. A lot of movies that would be nice to play on Apple TV simply don’t, while H.264 is an option on Handbrake and other personal-use DVD-encoding software, it’s not the only game in town.

7. Not NAS Friendly

Assuming I play by the rules and rip all of my personal DVD in H.264 format, I still have to leave them on my laptop, or transfer them to the Apple TV’s puny hard drive. Can I stick them on my 1TB NAS, or point the Apple TV to that same NAS to look for other compatible movies? Nope, I cannot.

8. USB Jack Still Unused

Speaking of terabytes, what the hell is that USB 2.0 drive for? It certainly isn’t for USB drives, because whenever I connect one, nothing happens. Laptop users don’t keep all their movies on their local drives, and many Apple TV drives are too damn small. I don’t honestly see how a USB slot could be used for anything evil, and yet three generations of ATV OS have passed without firing it up.

9. Hardware Sluggish and Hot

Even when doing nothing, the Apple TV is still remarkably warm to the touch — the 3.0 update doesn’t help that. What I did notice, though, was that the remote was sticky — I’d hear the little “bonk” when I’d push a button, but on many occasions, that was followed by a pause before the thing did anything. This led to several accidental double-taps. And that ain’t right.

10. No Netflix or Pandora

Or any other cool third-party services for that matter. YouTube is still there, along with MobileMe and Flickr. And I can understand the conflict of interest in embedding Amazon VOD or CinemaNow or Rhapsody or Napster. But why can’t we get some Netflix love? Or Pandora?

11. Too Much Emphasis on Spending Money

I have always felt that Apple TV’s insistence on paying for content was crass, given the fact that it is supposed to be the extension of your music and movies on your TV. Don’t get me wrong, I actually like that there’s a movie rental option on it (and it’s my understanding that many people who are drawn to Apple TV are excited because they don’t have as much media of their own). But on your computer, you make a deliberate choice to enter the iTunes Store. On Apple TV, you’re basically inside the store from the start.

12. Still Best for a 1:1 iTunes-to-TV Connection

I don’t use Apple TV regularly. I tried, I swear I did. But the shortcomings I mentioned above eventually drove me from it screaming. There are other simpler and cheaper devices that do what I want in a way that may not be as pretty, but is actually more functional. Returning to Apple TV now though, I recognise something Brian and I were chatting about earlier: If all you want is your iTunes experience quickly replicated on a TV, it’s the perfect device.

As you can see, Apple TV 3.0 isn’t some miracle that will suddenly make Apple TV more relevant. It’s really a 2.5 if you think about what it does to improve functionality. We asked Apple for a briefing today, in hopes we’d get some idea of what makes this revision special, and no one was available to chat. Guess we’ll have to wait for 3.0.1.

iTunes 9.0.2 adds support for Apple TV software version 3.0, adds an option for a dark background for Grid View, and improves support for accessibility.

iTunes 9 comes with many new features and improvements, including:

• An improved look and feel, including a new Column Browser for easily browsing your artists or albums, movies, TV shows, and more.

• iTunes Store has a brand new look, with improved navigation for quick and easy exploration.

• iTunes LP and iTunes Extras create unique experiences that feature exclusive interviews, videos, photos, and more – available with select album and movie purchases on the iTunes Store.

• Home Sharing helps you manage your family’s iTunes collection between computers in your home. iTunes can automatically transfer new purchases, or you can choose just the items you want.

• Genius Mixes are created for you by iTunes and play songs from your library that go great together.

• iPod and iPhone syncing now allows you to organize your iPhone and iPod touch home screens directly in iTunes. Syncing is now also more flexible, allowing you to sync individual artists, genres, or TV show and Podcast episodes.

• iTunes U items are now organized into their own section in your iTunes library.

• Sync with iPod nano (5th generation), iPod classic (Fall 2009), and iPod touch (Fall 2009).

• iTunes 9 also includes many other improvements, such as HE-AAC encoding and playback, more flexibility with Smart Playlists rules, simpler organisation of your media files inside an iTunes Media folder, and more.

Deja vu, am I right? [Apple]

Conceptually, it reminds me of the PS3. More straightforward than the previous version. Graphically, it seems very unlike Apple. In fact, it looks like crap. I guess His Steveness is too busy doing the funky tablet-shaking and whipping the iPhone OS people.

Update 1: We are downloading the update now and it’s huge. Actually, our connection is just crappy. And then, the updater needs to update before updating the software. So not only does the update bring all this new stuff, but it also opens worm holes in the spacetime fabric.

Update 2: It is taking ages.

Apple Introduces Apple TV 3.0 Software With Redesigned User Interface

Enjoy iTunes Extras, iTunes LP & Genius Mixes on Your HD TV

CUPERTINO, Calif., Oct. 29 /PRNewswire-FirstCall/ — Apple® today introduced new Apple TV® 3.0 software featuring a redesigned main menu that makes navigating your favorite content simpler and faster, and makes enjoying the largest selection of on-demand HD movie rentals and purchases, HD TV shows, music and podcasts from the iTunes® Store even better on your TV. You can now enjoy iTunes Extras and iTunes LP in stunning fullscreen with your Apple TV, as well as listen to Genius Mixes and Internet radio through your home theater system. The new Apple TV software is available immediately free of charge to existing Apple TV owners, and Apple TV with 160GB capacity is available for just $229.

“The new software for Apple TV features a simpler and faster interface that gives you instant access to your favorite content,” said Eddy Cue, Apple’s vice president of Internet Services. “HD movies and HD TV shows from iTunes have been a huge hit with Apple TV customers, and with Apple TV 3.0 they get great new features including iTunes Extras, Genius Mixes and Internet radio.”

The redesigned main menu on Apple TV gives you instant access to your favorite content. Recently rented or purchased movies, as well as other content including TV shows, music, podcasts, photos and YouTube, are accessible directly from the new main menu. The new software also allows Apple TV users to enjoy stunning fullscreen iTunes Extras and iTunes LP, including great new movie titles such as “Star Trek” or classics like “The Wizard of Oz” and albums such as Taylor Swift’s “Fearless (Platinum Edition)” and Jack Johnson’s “En Concert.” iTunes Extras gives movie fans great additional content such as deleted scenes, interviews and interactive galleries. iTunes LP is the next evolution of the music album, delivering a rich, immersive experience for select albums on the iTunes Store by combining beautiful design with expanded visual features like live performance videos, lyrics, artwork, liner notes, interviews, photos, album credits and more.

Now Apple TV users can enjoy Genius Mixes through their home theater system and listen to up to 12 endless mixes of songs that go great together, automatically generated from their iTunes library. Customers can also enjoy Internet radio, allowing them to browse and listen to thousands of Internet radio stations, as well as tag favorite stations to listen to later. Apple TV’s support of HD photos is enhanced with iPhoto Events, which simplifies finding your favorite photos on Apple TV, as well as iPhoto® Faces, which gives access to photos organized by people identified in iPhoto.

Apple TV users have direct access to a catalog of over 8,000 Hollywood films on iTunes including over 2,000 in stunning HD video available for rent or purchase. Users can also choose from a selection of 11 million songs, 10,000 music videos and over 50,000 TV episodes to purchase directly from their Apple TV or browse and enjoy the iTunes Store podcast directory of over 175,000 free video and audio podcasts. Purchases downloaded to Apple TV are automatically synced back to iTunes on the user’s computer for enjoyment on their Mac® or PC or all current generation iPods or iPhones.* iPod touch® or iPhone® users can download the free Remote app from the App Store to control their Apple TV with a simple tap or flick of the finger.

Why Extras—which are like DVD extras, with bonus clips, interviews and photo galleries, but for iTunes movies—is just now on its way to Apple TV is sorta mystifying, even for their most neglected product. (What does Apple have against its tinier boxes?) It’s like, the thing Apple makes expressly to plug into your TV, where you might want to watch those things.

Since Apple TV 2.0, the last major update to the sad little box happened almost two years ago, maybe, just maybe, there’s more to Apple TV 3.0 than just Extras and iTunes LP. Or you know, not. [AppleInsider]

Last month, Apple gave its digital living room gadget more bang for the buck, knocking $US100 off its 160 GB Apple TV, to $US229 (or $329 in the Australian Apple Store), and killing off its smaller version.

That has not made it a must-have gadget.

At Amazon, it’s ranked the no. 474 best-selling electronics device. (That’s marginally better than being no. 711, its rank on August 20. But it’s still very low, and below several less-impressive devices.)

And Google Trends shows that search activity for “Apple TV” in the United States hit a small bump after the price cut, but has since settled to where it was before. (See chart below.)

To be sure, these metrics are obviously not the whole picture. Apple retail store sales are an important factor that we don’t have visibility into. Amazon ranks and Google searches have a lot of variables that we also don’t have visibility into.

But we think these two metrics are valid enough to support the argument that it has not become a huge hit thanks to its better value.

We think that there’s a market for a digital gadget that helps consumers watch Web video on their living room TVs. But so far, no one’s perfected it.

As we said last month:

Apple needs to make major changes to the Apple TV’s software and platform. That could include some or all of these options:

* Opening Apple TV up to all Web video content, whether Apple controls it or not. (Rival Roku is heading in this direction with its $US99 box.)
* Making iTunes a better video service; perhaps offering more subscription options than simply whole seasons of individual shows.
* Adding a Blu-ray player to Apple TV so it could replace an existing port on peoples’ TVs, not take up a new one.
* Establishing an App Store for Apple TV, so that companies could offer video services, games, other apps, hardware accessories, etc., the way they do on the iPhone.

These ideas aren’t new — we’ve discussed many in detail here and here.

But Apple hasn’t made any substantive changes to the platform in more than a year and a half. Eventually, it will have to do something. Even at $329, the Apple TV remains an expensive device with a very limited feature set. That’s why it’s been unpopular with consumers and why Apple has to excuse it as a “hobby” on earnings calls.

Here’s that Google Trends chart:

Nokia showed off a bunch of stuff you did read about on Giz today, and a few things you didn’t. Well, not yet. Take the Nokia Mural, for instance, coming soon to AT&T. It is so cutting edge, it automagically camouflages itself as a 4-year-old Korean handset. Your friends will be totally surprised when they discover that your cheap ($US50 after contract and rebate) piece of crap is actually from Nokia. Or is it? Sometimes these things just bear the Nokia brand, but are really designed and built by a contractor—here’s hoping that’s the case. [Boy Genius Report]

Oh the joy Apple TV owners must feel, having been stupid enough to pay good money for that here-let-me-tie-your-hands-behind-your-back-so-you-can-enjoy-your-media box in the first place, and having to endure month after agonising month without a significant feature upgrade. (The only upgrade I can remember was the one that gimped Boxee.) Anyway, more bad news: That rumoured Apple TV upgrade this September? Not gonna happen. Sorry. Also, Mr Jobs told me to tell you, “F you, F you and F you.” [The Loop]

I have been bothered by Samsung’s ads (some which have appeared on this very site) proclaiming the arrival of LED TVs. To me, an LED TV would be a TV where the red, green and blue that a pixel uses to make colour are made of actual tiny diodes, clustered together forming a massive tight array. As any avid Giz reader knows, Samsung’s LED TV is actually an LCD TV with LED backlighting. Apparently, this lack of distinction isn’t sitting well with British advertising regulators who deem it to breach their requirement that advertising be “legal, decent, honest and truthful”. [DisplaySearchBlog]

Who cares about southpaws? Ben Heck, that’s who! The famous gaming hardware modder took time off from making Atari tablets, Xbox laptops and a movie about a giant killer opossum (say what now?) to reverse the buttons on an Xbox controller, just for you. Specifically, you lefties who have not already overcome your natural instincts and learned to frag the shit out of righties using their controller. You’re welcome…? [UberGizmo]