Out compete Apple? You cant be serious. Unless you have a phone that uses quantum entanglement to communicate at FTL no one is out competing Apple anytime soon.
Do you actually think it's an acceptable state of affairs for a company to be able to unilaterally put a non-competing and unrelated company out of business on a whim?
Apple isn't a traditional distribution channel. If FedEx bans me, I can switch to UPS (or USPS, or ...); if Apple bans me, for all practical purposes I can't compete in the mobile space in the US anymore.
> Do you actually think it's an acceptable state of affairs for a company to be able to unilaterally put a non-competing and unrelated company out of business on a whim?
What "non-competing and unrelated company" are we talking about?
If a third-party dev company is depending on Apple's ecosystem for their business, they're not "unrelated". They've made a business choice that has consequences: one of them is that their business is now at the mercy of Apple's app review process. But they knew that going in and chose to take the risk anyway. Not all choices end up well.
> if Apple bans me, for all practical purposes I can't compete in the mobile space in the US anymore.
That's because you're just one person. Samsung, LG, and other phone manufacturers compete with Apple in the mobile space just fine.
You say they knowingly chose to take a risk, but I'm arguing that in many cases they won't have had a choice. At present, there is functionality that you simply cannot provide without a native app. If your competitor chooses to provide that functionality and you don't, your business will no longer be viable. In many cases, a business simply cannot choose to ignore a significant percentage of their potential user base.
Re: Samsung, LG, etc. I'm not referring to phone manufacturers, I'm referring to businesses which must provide mobile device integration for their (otherwise unrelated) products and services. Examples include banks, game publishers, remote product controllers (for you car, or drone, or IoT light fixture, or ...), etc. "Only available on Android" generally isn't going to be viable - customers expect you to work with their (mainstream) device.
In the sense that they either do what Apple says they can, or they don't get to play in Apple's sandbox, yes, of course. That's because Apple owns the sandbox and therefore gets to make the rules for everyone that plays in it. And everybody who wants to build Apple apps knows that going in.
> there is functionality that you simply cannot provide without a native app. If your competitor chooses to provide that functionality and you don't, your business will no longer be viable.
Yep. And everyone who builds Apple apps knows that up front.
> 'm referring to businesses which must provide mobile device integration for their (otherwise unrelated) products and services.
"Must" in the sense that they chose to try to build a business that requires it, yes. But nothing forced them to choose that business.
Basically, your argument is "Apple should allow other businesses to use their infrastructure, which they have spent many years and many billions of dollars building, however those other businesses want". That's unrealistic; no business in the history of the world has done that with something they own.
In some cases (e.g., banks, which you mention), Apple isn't going to kick them off the app store; if there is an issue with CapitalOne's app, for example, someone at CapitalOne will talk to someone at Apple and they will figure something out. Apple are not fools; they know everyone does banking online and their users aren't going to accept their bank's app not working. But that's because the banks are also large businesses and Apple can't just ignore them. It's not because Apple is under any requirement to be nice.
> your argument is "Apple should allow other businesses to use their infrastructure, which they have spent many years and many billions of dollars building, however those other businesses want"
No. My argument is that companies which choose to place themselves as sole gatekeepers of their devices, and which also have such significant market share, should be subject to some minimal regulation that includes neutrality, oversight, and transparency requirements (at minimum).
> no business in the history of the world has done that with something they own
This claim is factually incorrect. Rail companies (in the US and Europe), telecoms, electric, gas, and other utilities all immediately come to mind. In most of the western world (but notably not the US), ISPs are subject to open access laws; these have been very successful.
> that's because the banks are also large businesses and Apple can't just ignore them. It's not because Apple is under any requirement to be nice.
I understand there is not currently any legal requirement; I'm arguing that we need one.
> companies which choose to place themselves as sole gatekeepers of their devices
Are being "sole gatekeepers" of devices they manufacture and sell. Why shouldn't they be?
> Rail companies (in the US and Europe), telecoms, electric, gas, and other utilities all immediately come to mind.
All of whom have government granted monopolies, so they do not "own" the things they manage the way Apple owns its infrastructure. And of course the same applies to ISPs, as I have pointed out multiple times now. You are completely ignoring this crucial fact.
It might or might not be, but that misses my point.
The issue isn't (necessarily) that Apple banned a particular account for a particular reason. The issue is that Apple (or Google) banning an account could easily render a given company (in an unrelated market segment) non-competitive overnight. That company would effectively have no recourse, and there is no alternative provider for them to switch to. I do not think that's a generally desirable state of affairs.
A reasonable analogy (in the US) would be an ISP banning a particular website. If the ISP were large enough (ex Comcast or Verizon), any web based US business banned in this manner would effectively become non-viable on the spot.
Tech companies should not be allowed to unilaterally control our economy in this manner. (This is all in addition to the existing consumer protection concerns.)
> A reasonable analogy (in the US) would be an ISP banning a particular website.
This analogy is flawed. Apple cannot "ban" people from the Internet. It can only choose to prohibit certain app developers from using its app store. But app developers can still reach customers in other ways. Choosing to base your business on Apple allowing you to use its app store is a business decision that has known risks up front. If you choose to do it, the risk is on you.
An ISP ban of a website means that website is literally off the Internet as far as all of that ISP's users are concerned. The website is not trying to use something the ISP owns; the ISP does not own the Internet (whereas Apple does own its app store). The website has no business relationship with the ISP the way app devs do with Apple. Also, the ISP's monopoly of its customer's Internet access is not a product of market forces the way Apple's position in the mobile app space is; the ISPs have monopolies granted by governments.
A better analogy to Apple would be a website's hosting company deciding not to host them any more based on the content of the website. The business running the site, by choosing to have a third party hosting company (instead of just buying their own servers and their own direct connection to the Internet), has taken a business risk; if the risk materializes, they have to make a business decision to either switch to an alternate method of hosting or shut down. But they knew that risk up front when they chose to do business with that hosting company.
My (current) point isn't about Apple banning individual consumers, but rather about Apple (or Google) banning companies from distributing via their infrastructure. From the perspective of the affected company, this is in fact roughly equivalent to an ISP blocking access to their website.
> But app developers can still reach customers in other ways.
Not in a commercially viable manner, at least in the US. That's my current view anyway, and you haven't (yet) convinced me that it's flawed.
> An ISP ban of a website means that website is literally off the Internet as far as all of that ISP's users are concerned.
And by analogy, an Apple ban of a publisher means that their app is literally blocked as far as all Apple device users are concerned. My original analogy holds.
> The website has no business relationship with the ISP the way app devs do with Apple.
Devs don't necessarily want to have a relationship with Apple, they're forced to in order to maintain a viable company (in some market segments, in the US). It is precisely this lack of choice that necessitates neutrality regulations of some sort. In fact, if an ISP were to charge website owners in order to reach their customers it would match the Apple app store model almost perfectly.
Your proposed hosting analogy is fatally flawed because an app developer can't switch distributors and still reach the (very significant, in the US) Apple device user subset. Apple is akin to an ISP, and blocking a developer account is equivalent to blocking any and all web properties owned by a particular individual.
It doesn't matter who "owns" the internet or a particular app store, or how the current state of affairs came to be. Any company possessing such unilateral control over effectively unrelated segments of the market is a completely unacceptable situation and needs to be remedied by lawmakers.
> Any company possessing such unilateral control over effectively unrelated segments of the market
Um, what? How is "mobile app developers" an unrelated segment of the market from "mobile phone manufacturers"?
> is a completely unacceptable situation and needs to be remedied by lawmakers.
No, remedy by lawmakers is exactly what you do not want. Basically, the situation is that a bunch of businesses made bad business decisions--they built businesses that were critically dependent on Apple being nice to them, and Apple wasn't. Businesses that make bad business decisions are supposed to fail; getting lawmakers to shield them from failing is how you get bad businesses and badly served customers.
The correct response for people who want to develop Apple apps and can't because Apple has banned them is to either build their own infrastructure to compete with Apple's, as I said upthread, or to find some other line of business.
I think my position can be succinctly summarized as mobile devices having become essential infrastructure. Access to essential infrastructure ought to be neutral and any regulation surrounding it transparent, regardless of who manufactured it; that's all I'm really arguing here.
My impression is that your position is one of preventing over regulation and preserving a free marketplace. I generally agree, but think that it's essential to maintain the stability and openness of the market by preventing large players from abusing their market dominance. I can't see how allowing Apple (or anyone else) to install themselves as sole gatekeeper of their very large service and then make arbitrary and opaque decisions about who gets to participate in it is in any way a good idea. It seems easily abused and detrimental to the market as a whole - consumers and smaller businesses alike.
Responses to various points from both your comments below, but I suspect any differences in the above is likely to lead to differences in the below being largely irrelevant to each of us.
Re unrelated market segments: I'm pointing out that, for example, Tesla's car app is expected by consumers to work with both Android and iOS. I don't think anyone is arguing that Tesla and Apple are in competition (or even remotely related) though. It seems silly to me to suggest that if Apple terminated business with Tesla that Tesla should simply roll their own infrastructure and expect consumers to switch away from iOS. That's an absolutely enormous barrier to entry, and easily abused. DJI provides an app for their drones (https://www.dji.com/goapp). Should it really be legal for Apple to decide to remove that from their app store without some sort of justification? Shouldn't the barrier to doing so be reasonably high (ex intentional abuse, illegal behavior, etc)? Is it reasonable if someone purchases a device, but later the associated app is removed by Apple and they lose functionality that they paid for?
Re government regulation: In fact it is exactly what I do want. I want general open access, neutrality, and transparency laws that apply to both ISPs and closed marketplaces. I'd also like a law requiring that users be allowed to configure roots of trust in _all cases_ for devices that they legally own, but I'm not holding out hope for that one.
Re my ISP analogy not holding: Sure, Apple can't force consumers to purchase their devices. Neither can an ISP force you to purchase a house in a particular area. So what? It doesn't follow that either of them should be permitted to arbitrarily regulate how I engage with a third party. This is why I compared a mobile device to a house and a user to a resident in my analogy - in both cases it is costly and difficult for most consumers to change who they do business with.
Re Apple not caring what you or I think because we're small, they built the infra, they own the infra, they were upfront with their ToS, etc: I'm arguing that things need to be changed. They ought to be legally required to do business with you unless they can provide documented justification that includes evidence of serious abuse on your part. This is conceptually the same (to me at least) as requiring net neutrality and open access of all ISPs.
> I think my position can be succinctly summarized as mobile devices having become essential infrastructure.
For mobile phone service and mobile internet access, I think this is a reasonable position (though not everyone would agree with it).
But that's not what we're talking about. We're talking about a specific infrastructure for distributing mobile apps, which Apple built and which they own. Apple does not prevent anyone from operating a mobile website and having customers connect to it. To argue that Apple's app store should be considered "essential infrastructure" is to argue that access to particular bells and whistles in mobile apps (whichever ones require a native app as opposed to a mobile website to function acceptably) is "essential infrastructure". I don't think that's a valid claim; it is much, much too strong.
> My impression is that your position is one of preventing over regulation and preserving a free marketplace.
My position is what I just said above: that the government should not be brought in to regulate something just because certain app developers aren't being allowed to distribute native apps through Apple's app store. That's not "essential infrastructure".
> I'm pointing out that, for example, Tesla's car app is expected by consumers to work with both Android and iOS.
And Apple is not going to ban Tesla's car app from its app store, because Tesla is a large enough company that Apple can't ignore them.
> It seems silly to me to suggest that if Apple terminated business with Tesla that Tesla should simply roll their own infrastructure and expect consumers to switch away from iOS.
Knowing Elon Musk, I think that's exactly what they would do. (Or, equivalently, they would figure out how to put whatever functionality they needed into a mobile website and build the infrastructure to make it work acceptably.) And I don't see why they couldn't, if they had to. But I also don't see that Apple would try it in the first place; see above.
> It doesn't follow that either of them should be permitted to arbitrarily regulate how I engage with a third party.
When Apple bans an app from the app store, as I've already said, they are not regulating a third party. They are terminating a business relationship between them and the app developer. An ISP does not have a business relationship with a website that they (hypothetically) decide to prevent their users from reaching.
Yes, Apple terminating a business relationship with an app developer affects that app developer's customers. But that's true of any business relationship. If your ISP decided to terminate your Internet service (say because you kept sending child porn in your emails), that would affect everyone who wants to connect with you over the Internet. But the ISP would not be terminating a business relationship with them; it would be terminating a business relationship with you.
You could argue that your ISP should not be allowed to terminate your Internet service because Internet service is now "essential infrastructure"; but, as I noted above, access to Apple's app store is not the same thing.
> They ought to be legally required to do business with you unless they can provide documented justification that includes evidence of serious abuse on your part.
I think having the government do this would do far more harm than good.
> From the perspective of the affected company, this is in fact roughly equivalent to an ISP blocking access to their website.
And here's the inconvenient truth: unless the affected company is large enough to make Apple pay attention, their perspective doesn't matter.
I get that it would be nice if Apple didn't do these things. It would be nice if Apple allowed every indie dev and every small dev company to build their dream app without having to jump through hoops and risk having their business shut down on Apple's whim. But Apple doesn't care what you or I think would be nice. They built their infrastructure and they own it. If they choose to manage it in a manner you don't like, they simply aren't going to care, and you have no right to insist that they care.
> Not in a commercially viable manner, at least in the US. That's my current view anyway, and you haven't (yet) convinced me that it's flawed.
I didn't say "commercially viable". Apple is under no obligation to make sure the business model you would like to have in a perfect world is commercially viable.
> My original analogy holds.
No, it doesn't, because Apple's ban of a publisher is a ban of another business that they have a business relationship with. The ban is basically saying that Apple doesn't want to have a business relationship with them any more. And no business has a right to insist that Apple have a business relationship with them.
If an ISP bans a website, they are "banning" a business that they have no relationship with. More precisely, they are restricting the actions of their customers in a way that impacts a third party (the website) with whom they have no relationship. In a sane world, ISPs would not have monopolies over the last mile Internet connection and so customers who wanted to get to website X and couldn't through one ISP would simply pick another (and ISPs who arbitrarily "banned" websites would end up going out of business because nobody would want to buy that kind of Internet access). But ISPs lobbied the government to get special monopoly privileges, and that means they gave up the right to arbitrarily restrict their customers' Internet access. That's a special circumstance that doesn't apply to other businesses like Apple.
> Devs don't necessarily want to have a relationship with Apple, they're forced to in order to maintain a viable company
No, they're "forced" to because they picked that particular area of business. But nobody forced them to pick that area of business. They chose to, knowing the risks involved. Nobody has a right to insist that their chosen business model must be viable.
> Apple is akin to an ISP
No, it isn't. Apple can't force people to buy its devices. ISPs can force people to get Internet access from them because they have government granted monopolies.
