The iPhone Is the Key to Apple's Tightly Knit Ecosystem

For a long time, Apple has been known to tightly integrate its products and services, creating an entire ecosystem of devices that “seamlessly work together”, as the company likes to point out. There is no doubt that part of Apple’s success is the stickiness of its ecosystem, with the iPhone as the centerpiece. According to findings from Statista Consumer Insights, an iPhone user is much more likely to use an Apple Watch, AirPods or any other Apple device than a non-iPhone user. While 77 percent of iPhone users who own a smartwatch or fitness tracker use an Apple Watch, just 28 percent of non-iPhone users who own a smartwatch opt for the Apple Watch. The same pattern can be observed for headphones, tablets and laptops, where iPhone users are much more likely to use Apple products than users of other smartphones are.

And while said “seamlessness” is undoubtedly one of the reasons why Apple’s devices are so popular, also and maybe especially among the less tech-savvy, it has also caught the attention of the Department of Justice in 2024, as the line between deeply integrating your products and services and building illegal barriers of entry for competitors is perilously thin. In Apple’s response to the DOJ’s antitrust accusations, the company vehemently defended its practices, saying that the lawsuit “threatens who we are and the principles that set Apple products apart in fiercely competitive markets.” If found guilty, Apple says, it could no longer create the kind of technology people expect from it, namely “products that work seamlessly together” to create “a magical experience” for users.