Five million Apple TVs per year is a half-billion dollar hobby. As such it quintupled from the first year (calendar 2007).
The value for hardware is, of course, only a part of the story. It is accounted for as part of peripherals revenue and amounts to 18% of total peripherals revenues. Last May I estimated that the installed base of Apple TVs was 10 million. I’d estimate current total to be closer to 12 million. Assuming $10/month in content sales per Apple TV results in $1.4 billion of which 30% might be retained by Apple as revenue (agency fee).
The yearly revenue thus could be as high as $900 million. Therefore it seems plausible that Apple TV is on the verge of being a billion dollar business.
What would be considered as a huge success and a successful franchise for another company is just a hobby for Apple.
Link: Apple TV might be a billion dollar business (Asymco)