Apple may be expanding its portfolio beyond just Apple TV to an actual “Smart TV,” according to Morgan Stanley analyst Katy Huberty. “Checks in Asia suggest Apple is working on a Smart TV prototype,” Huberty said in a note to investors on Friday. She also suggested that such a TV could help create a whole new Smart TV category. While there are already connected TVs that some manufacturer’s advertise as being “smart,” Huberty thinks Apple’s could include “TV/Video content, gaming, DVR as well as other features like apps and FaceTime.” By 2013, such a device could earn Apple roughly $4 billion for every 1% of the TV market it grabs, Huberty said. We think a cooler option might be for Apple to take the ATRIX 4G path and create a TV dock that would allow your phone to power services — and render them properly — on your home TV. It would certainly be a cheaper option. Either way, Infinity Blade rendered on the big screen? Count us in.
