Rumors have been flying in recent months that Apple was working on their own HDTV, usually called the iTV (though that probably won’t be its name). Though attention turned to the new iPad in recent weeks, the rumors have persisted.

Now it looks like the iTV may really be on its way. In a note to investors analyst Peter Misek of Jeffries said that companies in Apple’s supply chain have already begun receiving shipments of the specialty components required to make the displays for an iTV. He said that the iTV should be in full-scale production by either May or June, with a planned release sometime in the fourth quarter of this year. Misek also said that he expects an initial production run of between two and five million units, and a price point of $699. He did not speculate on the size range for the TV. Based on the going rate for HDTVs, though, price point of $699 seems to suggest that the iTV will be on the smaller side, at least for the first generation.

Misek also did not speculate on what Apple would ultimately call the iTV. Given the fact that two separate entertainment companies – one British, one American – are called ITV, it is extremely unlikely that Apple would call their TV the iTV. A variation on the Apple TV name is somewhat more likely, though that could conceivably cause some confusion. Apple announced the third generation of their set-top Apple TV at last week’s iPad event.

Misek also had some thoughts on the latest iPad and the next iPhone (usually called the iPhone 5, but probably just “the new iPhone“). The next iPhone will launch sometime in the third quarter with a 4-4.3-inch screen, A6 processor, and would be a significant redesign. Meanwhile, he called rumors that iPad screen production would not be able to keep up with demand “overblown.”

The new iPad was unveiled last Wednesday at a special media event. The device will be available in stores beginning Friday morning. Those who pre-ordered the new iPad in the first two days after the event should expect delivery on Friday as well. By last Friday shipping dates had slipped to March 19th, and are now showing as “2-3 weeks.”

Would you pay $699 for an HDTV from Apple? What features should an iTV have to distinguish it from the (much cheaper) Apple TV? Tell us what you think in the comments.