Update: Damien points out that the i2DVD Box belongs to this company, not Apple.
So... does that mean ZDNet's smoking something, or does it mean Apple's bought that device and will remarket it under their own label? I'd guess the former.
The original post follows...
...ZDNet UK: Comdex 2001 preview
"Apple's i2DVDBox combines Internet, DVD, MP3, and even interactive television technologies, all in one device. The i2DVD Box offers all the same features as a conventional DVD, including digital Dolby and composite and s-video outputs. The digital outputs are both optical and coaxial for compatibility with other home entertainment devices."
Looks like another all-out-Applewatch begins now. Could it be?