The only other company that has cheaper products out there is Creative. So not only are Apple products the best, now they're also the cheapest, which makes it impossible for others to compete.

Apple has been the pioneer in bringing together the entertainment world and the technology world.

It's safe to say that Apple is restricting supply to their own stores in an effort to, in my opinion, force people into their own stores.

Despite a lack of hints from the company, we believe it is useful to hypothesize on new initiatives Apple may have in the works and take a look at which initiatives, if any, make sense for the company, ... We believe Apple has a foundation in place to be the hub for consumer digital media.

The biggest reason is that Microsoft has a much harder job to do. They need to be compatible with an army of devices and different types of software and different hardware platforms. Apple only has to be true to itself, and because of that the development process is multiple times more efficient for Apple.