The HomePod isn't working out because:
a) it was way late to the market, and
b) Siri's technology lags behind Alexa.
Which supports my argument about lackluster innovation. I can say people won't pay $1200 bucks for a laptop with specs they could get for $800, either, but I'd be wrong because they do.
You might argue the AppleTV was innovative at the time it was released, but there were already very successful game consoles that had much the same functionality plus the games. Even if you count it as an innovation, it was announced in 2007.
Innovative products are not always successful. Now, if AppleTV had incorporated Alexa-level voice control technology back in 2013, that probably would've been innovative and successful.