“Over the past two decades, Apple has proven capable of exercising its rapidly lithe, innovating ability to take its existing technologies and create new computing forms that retain its influence over the most commercially successful and strategically important markets,” Daniel Eran Dilger writes for Roughly Drafted. “That winning strategy of the past also appears to be the best suited for the future of iPhone.”

“According to the world of analysts and punditry, Apple’s iPhone is nearing the end of the innovation runway, and the only direction it can now take is to radically lower prices and gain market share so it can shift from being a hardware company to being a services company that rents movies like Netflix,” Dilger writes. “Of course, the only reason they’re even talking about Services is because Apple spoonfed them its plans to develop expanded new Services for its vast installed base of iPhone users.”

“After inventing the false idea that periodic unit sales are more meaningful than Apple’s installed base, they’re left with the totally misguided conclusion that Services is a desperate move of a crumbling empire, rather than being essentially the same thing Microsoft did when it expanded its PC business from Windows to Office,” Dilger writes. “Building a platform and then building on top of it is exactly what companies are supposed to be doing, not an either-or conundrum.”

Read more in the full article – recommendedhere.

MacDailyNews Take: With a company as dominant as Apple, the only way to create churn (commissions, brokerage fees, etc.) is via huge servings of fake news. There’s so much of it that some of these myopic pundits and easily-malleable analysts actually come to believe it.

We’re not sure that most analysts or investors can rally wrap their minds around the vast amounts of money that the machine that Steve Jobs built has generated, is generating, and is capable of generating going forward. — MacDailyNews, May 3, 2018

Apple has an installed base of 1.3 billion devices. When that number finally sinks in on Wall Street, hopefully sooner than later, Apple shareholders will benefit.MacDailyNews, November 13, 2018

Apple’s Services business is a tremendous machine that hasn’t yet even begun to gallop. — MacDailyNews, May 3, 2017