Here is an interesting idea...I may be wrong here, but it makes so much sense.

If Apple buys TIVO for say under a billion dollars (it's market cap is just over 500 million dollars), and then builds a new TIVO box...that has a Blu-Ray option, a 1TB hard drive for recording HDTV and Standard Def TV and all the functionality of Apple TV, you could replace your settop box for your TV set and have this one device basically do everything for you.

Apple would OWN the living room/TV experience with a product that offers the best of all worlds...DVD watching, Blu-Ray watching, Apple TV online watching...forget NetFlix or Blockbuster...this would be the ultimate entertainment unit in most people's living rooms....all in 1 box.

And better yet, the iPhone could control your TV as a remote as well with a free Apple application when you buy this new device. So it would be fully intergrated with an iPhone if you have one.

Anyone have thoughts on if this idea is doable and if Apple might be thinking about it?