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HTML 5 will change Apples business model too. Have you seen the Financial Times "app" for the iPhone? It's a HTML 5 site, and it's not an app. Rather, the FT wants you to add an icon to the home screen and access the site directly, circumventing the app store altogether.

There'll be more of this, as HTML 5 matures. So, if "apps" are positive differentiators for the Apple devices and platform, and if HTML 5 circumvents the app store, what's the selling point? Once the Android phones fully embrace HTML5, the "app" experience will be portable across devices. Then what for Apple?