If there is no larger screen and it's just better hardware features (it will run faster or the camera is a bit better), well, then in addition to being generally unexciting, more importantly, this is, again, a radical change in the investment hypothesis.
In essence, Apple will have gone from a disruptive innovator and category creator with unique and different products to a company competing on the basis of run-of-the-mill hardware features. This is not much different than the low-margin handset industry before Apple entered it and disrupted it.
Another issue I would raise is how unfriendly Apple's suppliers have been to their employees. The problems at Foxconn and other companies have been well-chronicled (labor walkouts, worker suicides, etc.). These stringent working conditions lower the cost of goods to Apple and thereby increase Apple's profit margins. In fact, I suspect Apple continues to bid suppliers aggressively based on price, as opposed to reforming their labor practices. By continuing to use suppliers with these policies in place, Apple can be viewed as directly guilty of these practices as well, in my opinion.
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