Together with iOS 4.2.1 for iPhone, iPod Touch and iPad, Apple also released an update to the 2nd gen Apple TV. Firmware seems to be iOS 4.2, build 8C150.
Here’s the direct link to download it.
This update enables AirPlay for video functionality, as announced this morning, although it’s not clear whether Apple managed to include a fix for color issues on Sony and Philips TVs or not.
Update: we’re getting reports from users about the Apple TV software update claiming an iOS 4.1 update is available, although the direct link version clearly says it’s iOS 4.2. Curious.
Update #2: We can confirm the built-in updater tool will install iOS 4.1 on the Apple TV. Guess someone messed up with version naming for direct download at Cupertino.