Apple is all set to launch an internet-connected TV offering a new level of interactivity in 2012.

Named iTV, it will reportedly provide seamless links to cloud services to download films. Most importantly, it will reportedly understand your gestures and speech.

Apple senior engineer Jeff Robbin, who built the iTunes service and was an associate for the iPod, is reported to be overseeing the project.

An idea of late Apple founder Steve Jobs, who is said to have told his biographer that he would like to create an integrated television set that is completely easy to use and would be seamlessly synced with all of the other devices and with iCloud.

Japanese firm Sharp has been asked to begin production in February.

Earlier, Apple had introduced its TV in 2007 with a box that can store video and connect the TV to the internet or to the laptop to view photos.