It is piracy, not overt online music stores, which is our main competitor.

Well, Apple invented the PC as we know it, and then it invented the graphical user interface as we know it eight years later (with the introduction of the Mac). But then, the company had a decade in which it took a nap.

Innovation has nothing to do with how many R&D dollars you have. When Apple came up with the Mac, IBM was spending at least 100 times more on R&D. It's not about money. It's about the people you have, how you're led, and how much you get it.

Innovation distinguishes between a leader and a follower.

Japan's very interesting. Some people think it copies things. I don't think that anymore. I think what they do is reinvent things. They will get something that's already been invented and study it until they thoroughly understand it. In some cases, they understand it better than the original inventor.

To have your whole music library with you at all times is a quantum leap in listening to music. How do we possibly do this?

Apple's market share is bigger than BMW's or Mercedes's or Porsche's in the automotive market. What's wrong with being BMW or Mercedes?