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I have been considering buying the new Apple TV. Maybe the biggest reason is for Netflix streaming. However, I do not own a digital TV, and the only output on the Apple TV is HDMI. I could get a box to convert HDMI to analog RCA but the only ones I can find are more expensive than the Apple TV itself.

I could use a new DVD player, so I'm thinking maybe I should get a Blu-ray player with analog outputs and Netflix streaming capabilities as an alternative.

What do you think? Would it be worth it to buy a converter box, just so I can get the fancy new Apple TV? Or would it be better for me to invest in a blu-ray player?

Update: I decided to go with a Visio blu-ray player. It works pretty good. If I didn't need a DVD player, I would have gone with a Roku player instead.

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up vote 6 down vote accepted

I don't think it'll work. According to the Apple TV's tech specs, playing protected content (which I imagine means the one you'll get from iTunes rentals and Netflix) requires HDCP, so using a converter box probably won't work. At least the ones I've found online after doing a quick search specifically say they won't work with HDCP.

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Perhaps a better idea is to get a digital TV :) –  Martín Marconcini Sep 8 '10 at 10:54
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The Apple TV really won't work with any TV that doesn't support high-definition HDMI input capable of displaying 720p 60/50Hz. Additionally, everything will work through a converter unless the converter doesn't support HDCP (most don't). All protected content (which is most video and some music bought through iTunes) will not play through HDMI without HDCP.

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