If you want the most diversity of content, the Roku box is the way to go. But if you're a die-hard Apple aficionado, Apple TV may be the better choice. It's the only box that's compatible with iTunes, iCloud, and AirPlay. The latter function allows you to stream audio (like Pandora and other Web- and app-based audio streams), photos, and even some video from your iPad, iPhone, or iPod Touch directly to your TV by just tapping on the screen.
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The latest (2012) version of the Apple TV adds support for 1080p video output and an updated home screen. More important, though, are a flurry of feature upgrades that have been rolled out over the past few months: the addition of several channels -- including Hulu Plus, Watch ESPN, HBO Go, and Sky News -- and the cool AirPlay screen mirroring feature. The latter feature allows 2011 and 2012 Macs running the new Mountain Lion OS to "mirror" what's on their computer screens to the TV via AirPlay -- and that includes free Flash video sites such as Comedy Central and Hulu.com.
As with Roku, those cooler services -- HBO Go and Watch ESPN -- require you to have an existing cable subscription in order to use them. (Notably, Sky News is 100 percent free, and offers a live stream -- although the news has a decidedly British slant, given its U.K. origins.)
Key compatible services: iTunes Video, AirPlay, Netflix, Hulu Plus, YouTube, Watch ESPN, Sky News, HBO Go, Vimeo, MLB.TV, NBA, NHL, WSJ Live, iTunes Match Music, Internet radio, many audio and video podcasts, Flickr, iCloud Photo Stream
Who shouldn't buy it? If you're not an Apple person -- no iPad, no iPhone, no iPod, no Mac -- you won't get as much value out of this device. And if you want services like Amazon Instant Video, you'll need to look elsewhere (namely, Roku).
Worthwhile alternative: If you want more flexibility -- albeit with a far bigger budget -- you could always just attach a Mac Mini to your TV.
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