After long calling its Apple (NASDAQ:AAPL) TV segment a "hobby", the company sold $1 billion worth of Apple TVs over the last fiscal year, a figure that includes content sales. Though $1 billion is only a drop in the bucket for a company that did $174 billion in revenue last year, this significant increase in Apple TV sales volume was enough to make CEO Tim Cook note that it's "difficult to call it a hobby these days."
In this video from Tuesday's Tech Teardown, host Erin Kennedy and Motley Fool tech and telecom bureau chief Evan Niu take a look at Apple TV's historic sales volumes compared to today, and they also discuss the set top box market as a whole. The space was once seen as highly subsidized and difficult to disrupt for that reason; a consumer base that is willing to pay more for unique set top box offerings may open the door to a whole host of tech heavyweights interested in competing in this space.
Erin Kennedy owns shares of Apple. Evan Niu, CFA owns shares of Apple. The Motley Fool recommends Amazon.com and Apple. The Motley Fool owns shares of Amazon.com and Apple. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.