This, Saadi says, would mean properly entering the sub-$US400 market with the creation of a brand new series of devices specifically targeted at these markets.
"Of course this situation will push Apple to compromise device margin and could induce a significant fragmentation into its ecosystem," he says.
"This could also distract the company from its core business, which is bringing innovation to market, and as a consequence this could have a dramatic effect on its brand image."
The other option is for the company to surprise everyone again. Rumours about a big screen Apple television set persist, but have been replaced on blog pages in recent times by talk of the potential appearance of an Apple watch.
Saadi says a good option to find new growth will be in introducing a new type of device and establishing its brand in other markets such as luxury and wearable electronics.
"Apple stands a great chance of revolutionising these markets by bringing connectivity and innovative concepts to this type of devices," he says.
"The time is ripe for Apple to launch a new product line, such as a smart watch or additional connected devices in the home or car."
Sign up for Computerworld eNewsletters.