What most people don't realize is that while Apple claims to be a mobile device company, the truth is that Apple is really a mobile ecosystem company.

It's the ecosystem which is the key! The seamless iTunes/iPod experience was built on the foundation of a workable, legal, profitable music download ecosystem. Apple then leveraged this into the iTunes/AppStore/iPhone mobile device ecosystem.

Remember the lessons of the iPod. Lots of people made mp3 players with more/better stats and features. But no one else had the ecosystem on which to base a smooth and seamless experience. (And the marketing to not only bring it to our attention, but make it hip.) Right now, lots of people are making phones that can do more than the iPhone, but once again it's not the device, it's the ecosystem. And as heavy-handed as Apple may be, they're still at least twice as good as any of their rivals. The carriers are suffocating the gosling that will grow up to lay the golden eggs. Apple is feeding theirs enough so it will grow up marginally healthy. That's why they're winning.

(Palm understood this, but by trying to sync through iTunes, they put Apple in the position to sabotage their ecosystem. Bad move.)

EDIT: Suspect I am being punitively downmodded by someone whose post I criticized.