Cook astutely points out the category of "smartphones that function as or are used as feature phones", but the author's interpretation of this is quite naive. Yes, Android phones primarily make up this group, but they are also represented strongly in the "real smartphones" category by particular models and vendors: Samsung Galaxy S4, etc. To think that Apple is ignoring this threat is laughable. They simply recognize that people buying free-on-contract smartphones who are basically indifferent to their advanced functionality are not their customer. Competing with those devices is not a priority. If you're not a flagship phone from Samsung or LG (or a random few others), you aren't competing with iPhone. This is just reality. Furthermore, as phone sales remain predominantly subsidized in the U.S. the price difference is immaterial to market share and allows Apple to enjoy its huge margins compared to most everyone else.

Apple has locked up profits in North America quite effectively and will no doubt focus on maintaining its share of the market, but further growth will have to happen in other markets. The question is, what does Apple have planned to address other markets? And what will the impact of new market segments be on this growth?

I can understand the merit of these questions as a stockholder. To me though the disappointing aspect is that having built one of the most efficient cash generating machines imaginable, Apple hasn't seen fit to pursue a "Big Idea" that could only be realized with such an impressive cash hoard. Dividends seem so depressingly ordinary for what was so creative a company.