My prediction: Apple will make Apple TV a premier disruptive gaming platform (like Wii once was) by making iPhone and iPads the game controllers. All the games I already have on my iPhone will just work on the TV. AirPlay supports mirroring on the iPad now. If they work out any latency issues this would be a game changer. New API will enable a Wii U like experience.
Update: latency looks to be close to a third of a second which is much too large. Apple will likely have to install the app (e.g. Infinity Blade) on the Apple TV and only transmit enough information to make sure controller inputs are in sync with the graphics. A new generation of Apple TV with onboard graphics capabilities might be needed.
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Well, well, well….
“It’s just one week after Nintendo unveiled dual-screen gaming on the Wii U at E3, but Apple’s iOS 5 beta is already bringing a very similar experience to the living room — many months before Nintendo’s latest console is expected to ship.”
http://www.engadget.com/2011/06/17/real-racing-2-hd-wireless-dual-screen-gaming-with-ios-5-on-ipad/
Relevant: New Tweaks Could Turn Apple TV Into A Game-Playing, Video-Chatting, Multimedia Superstar http://www.fastcompany.com/1766795/ios-5-could-turn-apple-tv-into-apples-next-billion-dollar-trick