Stock market today: Latest news - CNN

Apple thinks that it can solve its iPhone sales problem by selling services, like Apple Care, Apple Music, apps and games.

But there's a problem with that strategy:

"Service revenue relies on hardware sales," noted Jun Zhang, analyst at Rosenblatt Securities, who recently downgraded Apple to a rare "sell" rating, told CNN Business' Richard Quest on the "Markets Now" live show.

Alan Patricof, legendary venture capitalist and managing director at Greycroft, disagrees.

"I take a much longer term view," he said. "Apple is a company that's here forever."

He noted that no one can replace Apple Founder Steve Jobs, but he said CEO Tim Cook maintains a vision for Apple (AAPL).

"The whole genius bar, the whole idea of service going into Apple and getting your phone taken care of, the whole thing ... I think it's a long-term company," he said. "If you have a long-term perspective, you want to invest in Apple."

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