Engadget got the goods (and it sounds exactly right to us) on AppleTV, Take 3:

..the device will be based directly on the iPhone 4, meaning it will get the same internals, down to that A4 CPU and a limited amount of flash storage — 16GB to be exact — though it will be capable of full 1080p HD (!). The device is said to be quite small with a scarce amount of ports (only the power socket and video out), and has been described to some as “an iPhone without a screen.” Are you ready for the real shocker? According to our sources, the price-point for the device will be $99.

Apple is moving away from the model of local storage, and will be focusing the new ATV on cloud-based storage (not unlike Amazon’s streaming scheme). For those still interested in keeping their content close, there will be an option to utilize a Time Capsule as an external storage component, but the main course will be all about streaming

Google’s TV is thankfully forcing Apple hand here and man are we glad to hear about some movement in this category.  Engadget wasn’t sure if the 200,000 apps would be ‘coming along for the ride’ but with the GoogleTV pulling in 50,000 Android apps, it would seem pretty tempting even if the touch interface made a lot of these apps cludgy.

We’re really loving this new Apple-Google competition.  The obvious winners are consumers.