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There's Only One Small Problem With Tim Cook's Theory About Why Apple Is The Awesomest...

Feb 13, 2013, 01:10 IST

APThis morning Tim Cook laid out his argument for why Apple can innovate and kick the butts of its rivals.

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In a nutshell: Apple is a hardware company, a software company, and a services company rolled into one. Its rivals are one of those, sometimes two of those, but none are all three.

If what Cook said was true, it would be a very compelling argument. Unfortunately, there's one tiny problem: Apple's not so hot on that "services" piece.

Adam Lashinsky at Fortune lays it out nicely:

Some fodder: MobileMe, Ping, a stagnating iTunes (where's the music or video streaming service?), weak photo sharing in iPhoto, storage features that don't come close to the state-of-the-art being offered by the likes of Dropbox. That list goes on and on, and if Cook thinks Apple is as masterful at services—especially Internet services—as it is at hardware and software, he's got another thing coming.

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