From BusinessWeek:

“For all the hype about iTV, here’s another potential application:

iGames. Could Steve Jobs and co really have their eye on the console

market? …

“Some have speculated that the iTV may also be destined

to get one of Intel’s Conroe-L processors, which it would need to

process the HD content Apple eventually wants to sell over iTunes.

Further, according to some, it’s very possible video card drivers could

be written so that graphic output data could be sent to a network port

instead of the monitor connected to the card. That opens the

possibility of using iTV and a wireless controller to remotely play

Mac/PC games (*cough* WoW *cough*) in your living room
If Apple finds a way to cheaply and easily play World of Warcraft on any TV in the house, including your widescreen HDTV, they may be onto a viable business model.