The device is rumored to include Apple's , limited on-board flash memory (16GB), and 1080p HD playback support, making it remarkably similar to the architecture of the . Apparently it will also utilize the iPhone OS instead of the standard Mac OS X version, as is the case with the current Apple TV. Engadget also claims that there is no word on if apps will be available or not on the Apple TV.

According to the rumor, the next Apple TV will also use so-called , where you would save your media files to an online server (presumably Apple's) instead of your own hard drive. The rumor also states that you will also be able to store media on an Apple . The best part about this rumor? If true, the next Apple TV will cost only $99. The current base model Apple TV--with 160GB of on-board storage--costs $230.

Will the Apple TV remain a hobby, or does Apple finally have serious plans for it? Apple's 2010 Worldwide Developer's Conference is less than two weeks away, so we may find out soon enough.

[Via ]