I'm not talking about UI in general, I'm talking about taste in UI - style and general good looks. I don't know how everyone else feels on this, but for me Apple has stuck far too long to simply ugly styling on both iOS and OS X to convince me that attractive UI is a part of company culture. Some of Google's efforts (Now, Maps) and where Microsoft is heading (e.g. it's new websites, Outlook, Windows 8.1) have all impressed me much more. I think Apple is clearly trying to retrofit company culture here.
But I wouldn't say Apple "reeks" of insecurity... We don't really have any knowledge about how much they have up their sleeves, and they've had a long time over the last half-decade to lay foundations for future maneuvers. Besides, if they can convince the everyman that they thought up modern design all by themselves, they could gain a massive advantage here.