Are you freaking kidding me? Without iPhone Apple is as profitable as Google or Microsoft.
I miss the days not too long ago when the people on this forum actually had a grasp on reality.
This commentary has to stop. Because it's not necessarily true.
If we want to play the "What if" game.
IF there was no iPhone. Several other portions of Apple's business would not nearly be where they are today. The iPhone, as unfortunate as it is to admit, IS a halo product, that does help boost other areas of their business.
For example
Other category: Which accounts for 6% of their business, contains the Apple Watch. The Apple watch would not exist without the iPhone.
Another category that would seriously be hit would be "Services". How much of Apple's service category, such as iTunes, Music, iCloud, would suffer without the iPhone platform which they are used mostly on?
Then there's the iPad, would the iPad have had the run-away success on launch if people didn't already know what to expect from the iPhone? another question could even be "Would the iPad exist if there was no iPhone?"
Mac sales would likely be significantly less. You can argue that Apple relied heavily on brand awareness from the iPhone to get people to look at their computers. Prior to 2007, Apple computeres were < 4% of the world marketshare. it wasn't till post 2007 did Apples computer sales grow remarkably. The brand awareness from the iPhone carried over. Especially once you got people into Apple stores for their phones, and saw "oh hey, they also sell computers".
Most of this was on the backs of the iPhone. so lets not play "without the iPhone, Apple would still be the bigger company". Because that is in all likeliness, hogwash. And Wallstreet, as much as I deride them for being ultimately irrelevant, is basing their predictions on "what if" in the future. What if Apple suddenly stops selling lots of iPhones, and it no longer is the revenue cash cow? Does Apple have something to replace it? to help ballance this out