$AAPL | APPLE’S REAL PRODUCT IS NOT THE IPHONE, BUT THE ECOSYSTEM
Looking at Apple solely as a hardware company now means missing an important part of the story.
The iPhone brings users into the ecosystem.
But the real power begins after that:
→ Devices connect to one another
→ Users find it difficult to leave the ecosystem
→ Services revenue creates a recurring revenue model
→ Brand strength makes it easier to adopt new products
This model gives Apple the advantage of creating long-term customer value, not merely selling products.
However, there are two risks here that should not be ove