Ever since I updated apple tv the airplay icon does not show up on my iPad/iPhone. If Apple TV is turned on (off standby,) icon appears. Have been through all the setting and tried all suggestions in a google search.

Apple TV has to be connected to the network in order for airplay to work. Intermittent issues like that are typically caused by interference.

If on wifi try ethernet

Go to istumbler, netstumbler or similar to get a report of the network, look for signal strength and noise

If it was software it would be a widespread issue, and the fact that you are having intermittent connectivity indicates a network issue.

How old is the router?

Best to get the network report, or you can test in a controlled environment (like an Apple store).

I was speaking as to the connectivity of Apple TV to the network, not airplay.

To get a better picture you will need either a network report or test in a controlled environment.

I have seen a possibly related strangeness on my MBP. The Airplay icon keeps appearing and disappearing in the menubar while the AppleTV is in standby. Didn't do that prior to the update.

Network issues can come about at any time, do proper verification as noted above.

Actually, I spoke at length with AppleCare today and it is being reported with regularity. They are kicking it up to an engineer to see what the issues are with the connectivity. The iPad or iPhone should be connecting with the Apple TV if bluetooth and wifi are enabled on both. You do not need to be connected to a network. The problem appears to be that the display information is being scrambled in some manner.

The MacBook pro's may have issues with airplay if you try to connect directly to the ATV without a network.

One thing that restored my connection is reseting my display preferences in the library by trashing the display preferences. I then selected Apple TV without any difficulty. Good luck!

That would be peer to peer Airplay, which is a separate issue.

Same problem here: ATV3, OS7, wired Ethernet. No Airplay Icon when Apple TV is in standby. When switching to Wireless Network on ATV3, it's working again!

even i am also facing a similar problem. i have macbook air, ipad2, iphone4S and iphone5S and apple tv. i updated my iPhone 5S and ipad2 to ios8 where as iPhone 4s is still running on iOS 7.1.2. i updated my apple tv as well. when i connected apple tv to the same router as other devices, only iPhone 5s shows the option of airplay where as no other device is displaying it. i hv tried all other devices....changed the settings and rebooted and restarted each one of them but nothing doing. that makes me wonder is it a problem with the software update of apple tv as i can successfully connect my iphone5s but not other devices. apple tv was running very successfully till recent past, primarily before all these updates came. i hv successfully mirrored from my macbook air, iPad and iPhone 4s. but now nothing seems to be working. can anyone help me out pls

I have 4 x ATV3, IOS8, OS 10.9.5, wired Ethernet. The Airplay icon keeps appearing and disappearing in the menubar of my Mac Book Pro while the AppleTV goes in standby / sleep mode. Didn't do that prior to the update 7.0 of ATV. Before the update all 4 ATVs were visible clicking on the Airplay Icon. Apple should better test things like that before rolling out new OS versions 😟

Same issue here - after the update my wired ATV no longer shows as a mirroring device on either my wireless iOS 8 iPhone 6 nor my wireless 2013 MacBook Air on 10.9.5. All are on the same network (but only ATV is ethernet)