Apple hasn't yet fully-enabled its plans for the Apple TV, and the device will likely generate $1.8 billion in 2009, a report explains.

Seeking Alpha points to three new features it expects will be made available through the device: film rentals, high-definition content and encrypted peer-to-peer internet distribution of content.

The report predicts that Apple will enable Apple TV owners to sign-up to become part of its movie distribution system. A consumer would be able to buy a film, and then allow it to be shared by others who pay a fee to iTunes - essentially reducing Apple's film distribution costs.

Seeking Alpha notes that Apple TV is written down in the company's books over 24-months, in order to allow for software upgrades.

It argues that if Apple didn't have plans to extend the utility of the product, it would never have accounted for sales in this way. It predicts two years of enhancements and upgrades ahead for Apple TV owners.

"When Apple actually fleshes out the full offer, Blackfriars projects that that 'hobby' will pull in more than $1.8 billion in fiscal 2009. And that would make me call that hobby a business - a big business," Seeking Alpha writes.