Last week's underwhelming iPhone launch was meaningless
Trying to claim that it means "Apple is done" as the article wants to imply is stupid. It is a 4" phone which is a niche market these days, but one Apple felt was important to serve with some slightly newer technology than the 5S that was currently slotted in that role. Nobody expected to be a big deal, so I don't get why the press wants to call it a failure. Pretty sure Apple wasn't expecting huge lines and 10 million sales in a weekend like they got last fall for the 6S and will get this fall for the 7.
At any rate, that doesn't have anything to do with whether what strategy Apple is working on for VR and AI pans out. That will succeed or fail based on the merits of the product, but knowing Apple they have their own vision for what they're doing and are taking their time. They want to see the early entrants in the market and learn what works and what doesn't, so they can refine their idea and skip the alpha/beta phase that we're in for products like Oculus, HoloLens, Gear VR and Cardboard.
It will be interesting as the first test of a completely Job-less product launch (I don't count the watch because they almost certainly started the design a year or two before his death)