Yet the AppleTV is already crushing Wii U sales since 2012 and selling about on par with the XBox One. And this is with the old model and Apple barely supporting it/throwing any marketing behind it. 

It's not a threat to Sony because it's clearly not going after the same audience, but saying it's a niche device is just stupid. It very easily could end up outselling the XBox One and it will certainly outsell the Wii U easily. 

Hell no

Of course it has the chance to outsell any console this gen, Look at the cost. This thing needs to be compared to other products on the market, Fire TV etc.. and with that, nope it will be stuck in it's ecosystem full of games that can be played on any smartphone. Didn't the Oculus Rift creators state that Mac products can barely run a VR device? that should give insight to how capable these things really are.

PC products push the limits, and early adopters accept a high rate of failure to have their toes hang off the edge of technology. Apple products play it safe, and make their products enjoyable for the biggest technophobe. Most people besides creators need any apple product, because they are a boutique item, they sell well to any person unwiiling to learn about PC's or are scared of technology.

Realistically Apple laughs at the game industry in general. They could buy Nintendo and it wouldn't even dent their cash reserves which are larger than Microsoft and Google combined. Their cash reserves are larger than the US, British, German, French, and Canadian governments too. 

They've basically destroyed the handheld part of the gaming market without even really trying or making a single game on their own. On a daily basis more people will play video games on an iPhone or iPad than all the Playstation, XBox, Wii, and 3DS consoles combined.  

And who knows. If it tickles their fancy, they could always some day release a Apple TV Pro that has a much higher end chipset too. But again, to Apple taking on the gaming dinosaurs is small potatoes. They laugh at Sony, that company is not even a bug on their windshield in the grand scheme of things. 

People play games on apple products because the free2play are higher than actual qualiity titles released. they garner alot of casual gamers i.e. people not willing to pay for games. if you had to put a price on games on the app store, even as little as .99 cents a download. dollars to dougnuts the download rate drops by more than 75%. 

Sure why pay for something when you can get it for free, that's just human nature. 

Still even on iOS, paid games like Minecraft and Final Fantasy VII have put up large numbers of paid downloads. There's a reason Square-Enix supports smartphones like crazy ... because they are making a lot of money from it. 

Apples and Oranges people, Apple and Oranges...

Why talk about "outselling" something that is not your direct competitor? Two different demographics. I will dare to say that more than 95% of the people that will buy the new Apple TV will do it for its streaming capabilities, the gaming factor is just an extra right there.

Developers will keep making the same amount of games like they have been doing with the iphone/ipad etc on the iOS and Android, wether this device sells a lot or not, it wont change anything.

I don't think this will be any real competition against the console market as they target at media players/android game consoles. So more and less Game of Wars, Angry birds, Guitar Hero (but then more and less mobile version), Jetpack kind of games on a big screen.  Furthermore compared to the older Apple TV's the price is likely to be much higher. From the rumours in the market the 32GB version would be around $ 149,- each and the 64GB will be around $ 199,- or even higher! This is showing that first of all they can't compete with the console market, because most of the real AAA games are already much bigger than the 32GB! No option to have physical media and replacement HDD/SSD options, so in my opinion no competitor. But I think it will sell good as all the Isheep will believe this is a new ground breaking device, which you REALLY NEED! Sarcasme mode off: For a multimedia device I think Apple TV is a good product(price and technically wise) compared to a lot of low cost Android/mediaplayers. 

Was the last apple TV a big success?

And no I don't think it will compete with PS4 much. Maybe it will draw in some of the Wii audience that have abandoned gaming and had/have no intentions of buying a PS4.

Sound wave has really shown his true colors here. None of the big three fear Apple lol, they aren't targeting the same audience. Only Ninty at best has been affected but its not like they still haven't sold enough hardware this Gen. Honestly I think this is what the NX home console could be.