"I still think Apple has a formula for creating great stuff."- Lance Ulanoff

So this is really interesting, so a big 22% drop off on MAC sales and now that includes obviously laptops and desktops but you have to believe that the main drop off is in desktops. Because what's happening? That business is drying up for everyone. Why? they are all buying laptops more importantly a lot of them are buying tablets. You know, laptops surpassed desktop sales a few years ago and now tablet sales are sort of coming in line with laptop sales so those traditional boxes are going.REPORTER: Are the new businesses the tablets and the iPhones which are not, are they growing enough to offset that?

LANCE ULANOFF, EDITOR-IN-CHIEF, MASHABLE:

I think they are but you know, here's the thing, it's hard to say right now if they are growing at the same pace right now? Apple does face a lot more competition in the tablet space, some fairly strong competition, you know their is all those 7inch tablets that compete with the iPad mini. iPad mini is kind of the new kid on the block, it's a$150 more expensive than the nearest really competitive 7inch tablet, yet they sold a bunch of them. But, you know the growth of tablets has been astronomical so, there may be a balance there.

REPORTER: Apple is considered the leader in tablets and phones for innovation. But the reality is: are they really the leader anymore or are they sort of the standard bearer?

LANCE ULANOFF, EDITOR-IN-CHIEF, MASHABLE:

They are the people you look at and you go, well that's a really good product. But Samsung has made some really good products. Who is creating the true innovation? And everyone looks to Apple to do that. So that's what we have to see in 2013, something fresh.

REPORTER: Are Apples best days behind them?

LANCE ULANOFF, EDITOR-IN-CHIEF, MASHABLE:

I don't believe that. You know, I still believe, despite all the personel changes and there have been some big ones in the last 12 months, I still think that Apple has a formula for creating great stuff. I've always believed that there was a lot of stuff on the drawing board especially while Steve Jobs was still alive that they have not executed on. I think that there are more surprises ahead. So, I remain bullish on the company because I have seen so many great things. This is a company that rose literally from the ashes in the late '90s and they are in a really great spot. They have tons of cash, tons of cash, a lot of money to invest in R&D and when they come out with something that is completely new, it will be really good.