“Apple’s big new iOS 4.2 software update for the iPad, iPhone, and iPod touch includes a sexy feature called “AirPlay,” which lets you wirelessly stream video, photos, or audio to an Apple TV,” Dan Frommer reports for TheBusiness Insider. “But the way AirPlay was released by Apple yesterday, it’s crippled.”

“AirPlay only works for video in Apple’s iTunes movies app and the built-in YouTube app… it does NOT support video AirPlay in Safari (for web video), in third-party apps, or for video shot by the iPhone’s camera,” Frommer reports. “It’s audio-only for those apps.”

Frommer reports, “One theory, which [Daring Fireball’s John] Gruber floats, is that there could be technical issues preventing video AirPlay from working as desired from those apps… Another theory is that this isn’t a technical issue at all, but a business issue. Perhaps the networks — which Apple is trying to work with closely on things like iTunes, iPad apps, and maybe someday a subscription video service — pressured Apple to get rid of AirPlay video in Safari or third-party apps. At least, perhaps, until videos or apps could be selectively activated or de-activated.”

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