Writer Bob Cringely looks at Apple TV media extender and wonders why it needs a 40 GB hard drive. Obviously the drive will be used for video storage, similar to Tivo. But it's not clear why or how it would stack with other Apple products, the Mac Mini and the AirPort Extreme Base Station.

Cringely puts together what's known of the device, other Apple products, and its entertainment ambitions and says a P2P network fits neatly. The network would download upcoming movies in advance so they would be ready for instant viewing on the release date, plus Apple cuts its Internet distribution costs 99%.

That is intriguing. That business opportunity has been around for a few years. Tivo in particular has been slow to innovate on the Internet end with their DVR. Apple is the first company with the right products, service, and entertainment suppliers that could make it work.