There was an existing market for MP3 players, smart phones and tablet PC's. Apple didn't create them. It expanded them and introduced the products to the masses.
"It expanded them and introduced the products to the masses."
And how is this not creating new markets? I think you are confusing markets with ideas. IBM wasn't the first to come up with the idea of the computer, but it certainly created new markets for it. Absent actually producing the product that is sold in the market, an idea (or a poorly implemented version of it) isn't much good.
