What Apple needs is to branch out beyond its cultish following. The company’s done pretty well at that lately with the iPod and iPhone and all the hysterical ecstasy that followed. They’ve got something cool with this Apple TV idea, but the computer-to-TV market has been a more difficult one to break.

The public (the world) was ready for iPod and iPhone, hence the success. But people are just now getting broadband, and just now getting used to the idea of digital televisions and digital receivers. They’re still just getting comfortable with (or recovering from) the outcome of the Blu-ray/HD DVD format war.

It’s going to be a bit before they’re ready to download to their televisions, or shell out another couple-hundred bucks for another thing they have to hook to their TVs (and will I need HDMI and optical blah, blah, blah). 

In a way, that’s a compliment to Apple. The company’s way ahead of its time. But that’s also going to be a problem for the second incarnation of Apple TV: Apple TV Take 2. It might take a couple of more takes before it really catches on, and they better hope Sony and Microsoft don’t hit the market when it’s hot for the idea.

Regardless, Apple’s being pretty aggressive. Soon after announcing the ability to rent movies via iTunes, Apple is promoting a weekly 99 cent video rental, which can be downloaded and won’t disappear for 30 days. Great concept. Great price. Better and cheaper than the video store, and eventually will have more options than cable or satellite’s on-demand movies.

A blockbuster of an idea, so long as Blockbuster doesn’t time it better for the market.