reading some of these posts makes me think and wonder something...
is Apple becoming more of a Software company than Hardware. yes they do both but the old saying was and has been that Apple makes the OS and software for the hardware - the latter being one of the most appealing aspects. but with increasingly number of people disenfranchised by Windows and finding better alternative solution is seems that the Software from Apple is what is driving people more now than the hardware itself.
I think there's a nice combination of factors. In the iPhone, for example, its a combination of hardware and software that makes the product so cool. And, in the case of laptops, I think Apple sells so well because they make very good laptops with very good software. I don't think you can say it's one particular aspect or the other that's leading to Apple's success.
Yes, correct, many are. In fact many tens of millions are well serviced by Apple. But if you look at how people spend their money ten times more are NOT serviced by Apple well enough to make them hand over their money.
But I think this is intentional by Apple. Apple wants the most profitable fraction of the market and simply ignores the less profitable majority of it. Their plan is working too, Apple is doing well.
There's an implicit assumption that if only Apple were to make the perfect box, the other 90% of users would flock to OSX; this just isn't true. There are lots of users who are so tied to Windows and certain hardware manufacturers that Apple could make the "greatest PC ever" and these users would still want to buy a Dell or Toshiba, etc. Furthermore, the 90% numbers reflects businesses like call-centers who want especially cheap PCs bought on leasing arrangements. Apple doesn't want this business, because it's decidedly unsexy and barely profitable.
You're right in Apple's intention, they want to make consumer and prosumer systems, because there's money and fun in that market. Notice that even Dell, with their vaunted distribution system, is now trying to capture some of Apple's market. The realization in the computer market is that commodity systems are a death spiral, at some point you just can't squeeze any more out of base components and just-in-time delivery.
Apple does pretty well, but I think they need to work on the desktop sector. The iMacs are wonderful machines, but the Mac Mini has become the red-headed stepchild and the MacPro is just simply more machine than most people need.