Apple Drops 40GB Apple TV, Lowers 160GB Price

Apple reduced its Apple TV lineup -- both in models and price -- over the weekend. The company discontinued the 40GB model and dropped the price of the 160GB model to the 40GB model's price point US$229.

The 40GB Apple TV shipping status changed from 24 hours to 1-2 weeks ahead of Apple's September 9 media event prompting Piper Jaffray analyst Gene Munster to predict that new models were on the way. Apple's media event, however was Apple TV-free and instead focused on the iPod and iTunes.

Consolidating the Apple TV lineup into a single model could be an indicator that Apple is planning on releasing a higher end home entertainment center product, or simply a reaction to harder to come by 40GB hard drives.

[Thanks to Mac Rumors for the heads up.]