Repeating yourself doesn't suddenly make what you're saying true.

When you use the airplay feature, you're controlling playback with the iPad. You choose the video from the iPad. You pause from the iPad. You fast forward and rewind from the iPad. iTunes doesn't need to be running on any device for this to work. The Apple TV you use doesn't even need to be logged into your Apple ID, it just needs to be on the same local network as your device. You can even exit the playing app to look stuff up on IMDB or something without interrupting playback, accessing controls from the task bar when needed.

Even if you're using the Apple TV's software instead of your iPad's software, navigation can be conducted with an app on the iPad with no need for iTunes to be running anywhere. Though in that scenario, content will be limited to Netflix, Youtube, and iTunes rentals only.

@TomaTito

The second generation Apple TV is a very different beast from the first. Some people prefer to think of it as simply a peripheral that lets your iDevice wirelessly use your TV as output, though it isn't exactly useless if you don't have an iDevice.

So I can own a AppleTV and use its full features without having to have iTunes?

Obviously not, since one of those features is integration with iTunes. You'll also need a Netflix, MLB, and NBA subscription, Flickr and Youtube accounts if you want to use its full features.

So my point stands. To use AppleTV I am required to use iTunes for management of media I own. To me that is a negative as it restricts my choices.

I never said it was the only thing AppleTV did, just that I detest Apple forcing me to use only its products and I don't want to be forced to use iTunes.

Right, you admit that the Apple TV doesn't only use iTunes, but you hate it because it only uses iTunes...

I'm out.