While some people might try to pigeonhole Apple (AAPL) as either a hardware or a software company, perhaps the answer is not binary. At least that’s according to Neil Cybart, the founder of Above Avalon, a blog that has covered Apple from the intersection of Silicon Valley and Wall Street since 2010.

“Apple is an experiences company. They are selling an experience. The current product strategy that Apple is following is something that I call, ‘The Apple Experiences Era,’” Cybart said during a conversation with UBS tech analyst Steve Milunovich, which was transcribed for the firm’s latest research report out this week.

While we tend to think of the iPhone as a gauge of Apple’s success, Cybart points out that we’d be shortsighted to think it’s just about the smartphone.

In fact, Apple’s Services unit is the company’s fastest growing segment, and CEO Tim Cook has ambitious plans for the category. Services — which includes the App store, iTunes, Apple Music, Apple Pay and iCloud — gets users deeply entrenched in the Apple ecosystem and the kinds of experiences that Cybart is talking about.

Apple’s hardware also helps engage users with this ecosystem. Beyond the iPhone, Cybart noted that other consumer products, though they may seem supplementary, can actually have staying power and may even replace the iPhone entirely.

“The iPhone, iPad, Mac, Apple Watch — each of these products can stand on its own and is connected through the services. Especially as you see Apple making sure each stays true to its form factor, there will be consumers in all categories,” Cybart told Yahoo Finance.

Consumers will create their own Apple web, using a few products to upload their photos to iCloud or purchase an app.

Cybart highlighted that though the iPhone has been Apple’s bread and butter — iPhone sales make up 70% of the company’s total revenue — it’s trying to move away from the “iPhone as hub” idea, encouraging users to choose the products that suit them best. Of course, the iPhone remains a core product (the company sold a record 78.3 million iPhones last quarter).

But the one risk that Apple faces as it develops a vast offering is that it “involves a lot of storytelling,” according to Cybart. That means Apple needs to do a good job at getting potential consumers to understand the different features of a Mac, iPad, and Apple TV.

“You can see how Apple will struggle in terms of making that message clear. It’s pretty difficult to figure out what kind of Mac to buy these days or what kind of iPad best fits your life,” he said.

With over 1 billion Apple devices being actively used around the world, the company faces the challenge of convincing consumers to expand their personal web of products one step further.

Melody Hahm is a writer at Yahoo Finance, covering entrepreneurship, technology and real estate. Read more from Melody here & follow her on Twitter @melodyhahm.