I think the average idiot can take a really strong business and weaken the bones for some quarters or years of extra profit, possibly insane profit, before lack of focus on what really made the company strong starts to erode the fundamentals. I think we’re seeing that with Apple personally. It’s just colossal though so there’s a lot of squeezing and a lot of profit before it really catches up. And they don’t even disappear. They just become lumbering monsters like Microsoft, IBM, and HP that people don’t use because they want to. HP was legitimately a great company.

Only looking at these numbers and not the general sentiment around the company, I'd say yes, it matters. Myopically focusing on profits and assuming profit = good is, well, its super common but also pretty nutty.

At this point to take part in modern life a smart phone is required. Having captured a market for an essential "luxury good" doesn't mean they're doing something right. It just means we have no other choices.