Lost amid the hype of the successful iPod and the iPhone is Apple’s steady emergence as a giant in the entertainment arena.

So what if Apple lost the PC battle of the 20th century to Microsoft.

You see, Apple has already ground Microsoft, RealNetworks, Napster and other sundry players into the dust in the bigger entertainment war of the 21st century.

No longer just the computer company that makes Macs for the rest of us, Apple is already an entertainment giant with a range of products and services. 

Just look at the numbers:

* Apple has already sold 160 million iPod digital music players.
* Apple’s iTunes Store sells online music, movies and TV shows and is the largest music retailer in the U.S.
* iTunes Store has a collection of 8.5 million songs, 30,000 TV episodes and 2,500 movies (with 600 in high definition).
* Apple rents standard definition and high definition movies.
* Apple’s iPhone (which includes the iPod) is wildly successful and the company is on track to sell over 10 million iPhones this year. The iPhone is both a mobile phone and an entertainment device.
* Apple TV (a $229 device) lets users download movies and TV shows and play them directly on a TV set (no PC needed).

And did we tell you that Apple CEO Steve Jobs is Disney’s largest shareholder and on its board.