Elgato Systems has launched the HDHomeRun app for the iPad 2. The app can be combined with Silicondust’s HDHomeRun PRIME for watching premium cable TV channels right on the iPad 2.

The “copy freely” flagged channels seen in Verizon FiOS or Comcast cable television can be streamed directly to the iPad 2 using HDHomeRun PRIME. It will also stream all unencrypted digital cable TV offered by cable providers.

The iPad 2 can also act as a DVR (digital video recorder) using Elgato’s HDHomeRun app.  The typical controls for a DVR are available including pausing live TV, instant replay, and recording shows directly to the iPad 2. The recordings can also be transferred to a computer.HDHomeRun

And iPad 2 is required for HDHomeRun, as well as a CableCard decoder, a valid cable subscription, and a PC running Windows 7 Media Center for initial HDHomeRun PRIME setup. Once everything is installed and setup, the computer does not have to be on for HDHomeRun PRIME to deliver the content to the iPad 2.

HDHomeRun PRIME cannot deliver premium channels marked as “Copy Once” or ‘Pay-Per-View’ and ‘Video-On-Demand’ that are marked as “Copy Never.” It is not supported outside the local Wi-Fi network; 802.11n Wi-Fi and 1000Base-T Ethernet are recommended. It works with iPad 2 running iOS 4.3.3 or newer.

The HDHomeRun app is available at the iTunes store. It costs $17.99 for the app, but there are no recurring subscription fees.