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Can the Apple TV record television shows and movies? Can it play DVDs?
The Apple TV makes it possible to wirelessly "stream" iTunes content -- "music, audiobooks, videos, TV shows, and movies" -- from as many as five Macs or PCs to an enhanced-definition or high-definition TV (and as of January 15, 2008, rent movies directly). It cannot record television programs or movies from broadcast, cable, or satellite, nor can it play CDs or DVDs.
Also see: Is there a way to record video, TV shows, or DVDs directly to the iPod?
What type of television supports Apple TV? Is Apple TV compatible with HDTV and SDTV?
Apple states that the Apple TV requires an EDTV (Enhanced-Definition Television) or HDTV (High-Definition Television) set with HDMI or component video and audio ports.

Photo Credit: Sony - BRAVIA HDTV
Consequently, at least officially, Apple TV is not compatible with SDTV (Standard Definition Television). However, as first discovered by Rouge Amoeba, Apple TV does have unadvertised "480i" (SDTV) support that will work at least with some SDTV sets provided that they have component (red, green, and blue) -- not composite (yellow, white, and red) -- inputs and a "simulated widescreen" mode.
Also see: What is the difference between SDTV, EDTV, and HDTV? What is the difference between 480i, 480p, 720p, 1080i, and 1080p?
How many movies, television shows, songs, and photos can the Apple TV hold?
Apple reports that the internal 40 GB hard drive in the Apple TV can hold up to 50 hours of movies and TV shows (at H.264 1.5-Mbps video at 640x480 with 128-Kbps audio, 720p maximum), up to 9,000 songs (assuming songs are 4 minutes long and encoded in 128-Kbps AAC), and up to 25,000 "Apple TV viewable photos transferred from iTunes" (JPEG, BMP, GIF, TIFF, and PNG).
Also see: What type of hard drive does the Apple TV use? Can it be upgraded?
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