They have a bad habit of gimping their devices however. The iPad Pro's would be a great laptop replacements but Apple doesn't give them mouse support.
A tablet with mouse support = a shitty desktop experience. Just as a laptop with touch support = a shitty tablet experience. That's not gimping, that's focus, and it's why Apple makes billions of dollars on iPads from day one, whereas Microsoft started with a billion in write-offs, and eventually arrived at their current "success" of selling a fraction as many units, albeit profitably.
Customers have been voting with their wallets on this for six years now.
And in any case, that criticism isn't even strictly true anymore - iOS supports a pointer with the virtual keyboard via a multi-touch gesture. It's not a mouse replacement by any stretch, but it's a mouse functionality replacement for many instances where it would be useful.
I don't feel their products are cannibalizing each other because I know lots of people who own both an iPad and a MacBook Pro or MacBook Air. Even Cook himself said he believes the products are meant to be separated (when asked about the Surface).
Anecdotal remarks are a poor substitute for the behavior of markets. And convergence != cannibalization. Cannibalization is x replacing y, not x = y (which is convergence). Nobody would say that iPhone = iPod, but the iPhone sure cannibalized the hell out of the iPod. Nobody would say iPad = MacBook, but you can bet that Apple's selling a lot of iPads to people that would otherwise have bought Macs. That's cannibalization.
Here's a quote from Tim that actually pertains to cannibalization:
John[URL='http://allthingsd.com/author/john/'] [/URL]Paczkowski said:Better to eat your own than have your own eaten by others. That’s Apple’s philosophy on product cannibalization as related by Tim Cook during the company’s first-quarter earnings report.
“I see cannibalization as a huge opportunity for us,” Cook said Wednesday. “Our core philosophy is to never fear cannibalization. If we don’t do it, someone else will. We know that iPhone has cannibalized some of our iPod business. That doesn’t worry us. We know that iPad will cannibalize some Macs. But that’s not a concern. On iPad in particular, we have the mother of all opportunities because the Windows market is much, much larger than the Mac market. It is clear that it is already cannibalizing some. I still believe the tablet market will be larger than the PC market at some point. You can see by the growth in tablets and pressure on PCs that those lines are beginning to converge.”
The iPod doesn't cannibalize Mac sales because it replaces all the things the Mac does. The iPad cannibalizes Mac sales because it does a subset of those things, but it does that subset better since it's a cheaper device that has many advantages over a Mac - portability, simplicity, battery life, and so forth. Those advantages are a product of the fact that the OS is designed for the hardware, and that hardware alone.
I mean, I don't know how else to say it - Apple is the company of cannibalization. Microsoft is the antithesis of cannibalization, and Continuum is the epitome of that culture - they're literally trying to stuff Windows into phones and IoT! And call it the future! It's a backwards and dated perspective that always has, and always will, smack of fear of disrupting the golden goose. Meanwhile, they've lost in all the realms of technology that ultimately mattered in the past 10 years - mobile, web, and (soon) cloud. All because they couldn't look past Windows.