How can you seriously argue that iPhones are "subsidized by AppStore profit", when one division pulls in 40%+ of Apple profits and the other barely 15% (and not even alone - appstore profits get added with iCloud and others under "Services" in Apple reports; realistically, it's probably 10% at best)...?
It's iPhones that subsidize everything else, including the AppStore. For all their talk of "going services", Apple is still first and foremost a hardware company.
It's iPhones that subsidize everything else, including the AppStore. For all their talk of "going services", Apple is still first and foremost a hardware company.