Do I need Apple TV to stream wirelessly to the TV

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I recently bought a new TV. Now I want to mirror my MacBook Air on it.
I don't need all the other fancy features of Apple TV (I don't have an iPhone/iPad, don't use iTunes etc.).
Right now I'm using a VGA cable, but I want to do this wireless.

If I get Apple TV, can I still play the sound over my MacBook (to use USB-Headphones)? I live together with other people and want to watch movies late at night.

Are there good alternatives to Apple TV that I could use or is Apple TV the only hardware that would allow for me to wirelessly send a mirrored display of my Mac to a television set?

Update for people who stumble upon this now:
By now I'm using Chromecast. For my case it does the very same thing and it's cheaper, more handy, is hidden behind the TV (invisible so to say) etc. It streams YouToube or Google Music/Movies and I can control it with my Android phone/mac. If you have a movie file, you can stream it to it (1080p, no problem) with the 'Videostream for Google Chromecast' extension for Google Chrome. The mirroring performance (enabled through the Google Chrome browser) is.. ok? A little worse than Apple TV I think, but it's ok for presentations, or showing pictures etc.

Best Answer

There are two options which will suit what you want

  1. Any AirPlay video receiver will let you stream wirelessly. (You can stream the audio and video, or just the video and use headphones) AppleTV is one such receiver and by virtue of it being on the market the longest, it has the most users with experience as to how it works.
  2. Buy a longer cable and link up physically.

On a personal note, I'd be in favour of the longer cable option, as it offers slightly more compatibility (a friends laptop, perhaps) and costs way less. That said, Apple TV's are awesome. I'd also recommend using either HDMI or Thunderbolt/displayport.

In short, yes, an Apple TV will do what you want.

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