The new Apple TV was announced at the same time as the new iPad. Unfortunately that means it got a lot less attention than it could have. Of course, it was also a relatively small upgrade. The big new feature? 1080p output. It's not much, but Apple also upgraded the videos on iTunes to display in full 1080p HD. The previous generation of Apple TV won't be able to play videos in 1080p though, as the hardware upgrade in the new Apple TV is necessary to process the video. The new Apple TV has more ram, and a single core version of the A5 processor. Those upgrades are enough to allow the new Apple TV to play 1080p video, while the older one will not be able to do so. The new iPad will also be able to display 1080p AirPlay mirroring from an iPad, while the previous generation will continue to display 720p HD video.
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