I think this is a case of Apple's stubborness giving them a little bite in the ass. It took them a long time to come out with the iPad mini because they didn't believe in the inbetween tablet size, and now it's taken them far longer than it should've to come out with a bigger iPhone. Apple was late to the party with 4G as well.
I think once a bigger iPhone drops it will put a big gust of wind in their sails but I also think that Apple needs to be skating to where the puck will be if they want to keep their place as the premium manufacturer. If they're 2 or 3 years behind what Android (Samsung really) phones have the narrative that Samsung is more innovative is going to gain steam.
The other looming challenge for Apple is that software services are growing as a differentiator in phone ecosystems. Most of the Google services thoroughly outclass iCloud, meaning that iCloud doesn't give the Apple the competitive boost that it could.
N.B. that the _smaller_ ipad was the untapped opportunity. Plenty of people choose the iphone precisely because it is smaller. If Apple want to find the undiscovered new market again, they should look at an iphone mini, not a me-too iphone maxi.
I think once a bigger iPhone drops it will put a big gust of wind in their sails but I also think that Apple needs to be skating to where the puck will be if they want to keep their place as the premium manufacturer. If they're 2 or 3 years behind what Android (Samsung really) phones have the narrative that Samsung is more innovative is going to gain steam.
The other looming challenge for Apple is that software services are growing as a differentiator in phone ecosystems. Most of the Google services thoroughly outclass iCloud, meaning that iCloud doesn't give the Apple the competitive boost that it could.