His point is the original iPhone had its own polished apps out of the gate that demonstrated significant real world value: a much better touchscreen phone, iPod

His point is the original iPhone had its own polished apps out of the gate that demonstrated significant real world value: a much better touchscreen phone, iPod and mobile browser. They didn't just leave it up to 3rd party developers. That's not to say developers can't add to that baseline, which obviously they have in a major, major way with the iPhone. His point is you have to make it useful out of the gate.