Earlier quoted context omitted.
"It works in the short term, but I believe it will bite them in the ass over the long-term." I disagree. Both Apple and Nintendo have shown proof that their closed 'circle of one' system works. Yes both of them have had a lot of big missed opportunities in the past because of this, but what matters more for these companies is profitability and not marketshare. Both Apple's and Nintendo's closed systems have led to la…
Apple has also shown that their closed 'circle of one' system does NOT work. That's why they lost to IBM/MS so long ago. Everything apple was proprietary and people went to PCs.
If apple think their iPhone success shows that people like closed systems, they are kidding themselves. Phones have never really been open (thanks to the carriers), so the iPhone was actually one of the more open phones out there. But once they start competing with actual computers, it is going to be very different.