Apple have officially unveiled a media centre device temporarily named iTV, that allows wireless streaming from home computers to television screens.

The iTV looks like a sleeker Mac mini and comes with a control to adjust settings. It connects to computers via Wi-Fi, ethernet cables and USB and allows users to browse through photos, music and video content stored in iTunes on a television screen.

Trailers from Apple.com can also be watched on a television screen, using the device. Steve Jobs, Chief Executive, revealed plans to sell iTV in the first quarter of the next year with a proposed price of $499.

Apple is putting itself in direct competition with Microsoft who have been trying to cross over into the home-entertainment business with products like their Windows Media Center.