Apple also said there is no market for a 7 inch tablet... Apple is great, but they have been proven wrong again and again as technology has evolved
Not the same. Their negative comments are different than their positive ones.
Steve said no one read books and then they came out with iBooks. He said tablets weren't good for anything and then came out with a tablet. Intel chips weren't good...until they were. And so on. (Including your example: 7" tablets are worthless...until they make one.)
In each of those cases they were saying something wasn't important until they did it...they didn't want anyone to know where they were headed. Yes, they often say negative things about products they're actively planning.
But the screen size thing is different. If they'd kept talking about how large phones were bad, I'd agree with you. They'd be misdirecting in order to hide their own large phone.
But that's not what they kept saying. (There may be an exception, I'm talking about the average message here when you listen to multiple events.) They always talked about how much they liked the current size. It was almost always positive comments about what they liked about their screen instead of negative comments about other phone's screens.
In my view, when Apple says they don't like "x" that probably means they're experimenting with "x." When they say they do like "y" that means they probably really do like "y."
I can think of many examples where they turn around on a "dislike" statement. Has there ever been a time they turned their back on an opinion they were positive about? I'm having trouble of thinking of any.
To me, their screen-size comments about the iPhone are completely different than their comments about iPad screen sizes.