Well after 2 hours mucking around, this is what I have concluded.
I successfully connected the iPhone to the apple TV via a router and also the hotspot method. Both of which played kids cartoons that are on my iPhone to my TV screen perfectly, picture and sound.
However, when I load the Foxtel GO app, its a different story.
Whether I use the router method or the hotspot method, all I get is sound through the TV and no picture. When you choose the output device on the iPhone there is a little picture of a speaker next to the Apple TV option on the iPhone.
But when you play the kids cartoons, the symbol is a square box with a triangle. The iphone is restricting the image in the Foxtel app and only allowing sound to transmit :frown-new:
With this in mind, I think you will find that the Foxtel app has out smarted us and knows that we are trying to display it on the big screen and it simply just does not allow it due to licensing (so I have since been told).