[rbarooah]

I think it would be more accurate to say that from Apple's perspective 'the internet' is more than just the World Wide Web. Apps (and desktop applications) are peers to the browser - not something that necessarily has to run within it.

Part of the reason so much online activity shifted to the web in the web 1.0 era was that the browser sidestepped the problems of distributing and updating client applications.

With its app stores, Apple has solved these problems, and put applications back on an equal footing with web apps.

Whether or not this is is the winning strategy over the long term remains to be seen, but I think it's hard to make the case that Apple doesn't understand the internet.