Yet now that the company is so large due to iPhone success, investors are clamouring for product expansion with larger as well as lower-priced phones with Android gaining favor. Innovation remains the key… Perhaps Apple will meet its internal need for differentiated product while covering more product space to grow revenue as it did with the iPod. If not, it probably will err on the side of yielding revenue dollars though giving up less in profit share. The only way out might be innovation in new categories, which will require investor patience. Most companies would rush out a 5-6” phone; Apple probably won’t. – UBS analyst Steve Milunovich
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