The Apple TV connects to an HDTV and to a wireless network, streaming Netflix, Hulu Plus and iTunes rentals to the big screen. It also supports AirPlay and AirPlay Mirroring, which streams the iPad's sound and display wirelessly to the big screen.
This makes it easy to share videos with a dorm room full of people and there are great games like Sketchparty.tv which take advantage of the Apple TV. For just $99 this small box can stream content and music from the iPad, Mac computers on OS X Mountain Lion, the iPhone and iPod Touch.
This is an essential iPad accessory, especially for college students looking to cut the cord.