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Geographic area is an interesting term here. If you take "iPhone owners" as a geographic area, then Apple has a 100% monopoly on that market. Geographic area ==
by pythonaut_16 6y ago
Geographic area is an interesting term here. If you take "iPhone owners" as a geographic area, then Apple has a 100% monopoly on that market. Geographic area == captive audience, and since iPhone users are a captive audience of the app store.
I think there's a reasonable argument that users buy iPhones with the expectation of a market in the app store (I can get or buy apps from any company that cares to develop one), so when Apple charges a 30% fee (far above normal payment processing fees) on every transaction made through the app they are abusing a monopoly position.
- donor20 6y agoI suppose the next case will be against Walmart for not allowing me to setup my own kiosk with my own payment processor in their store if you define markets in this way. They have a monopoly in their stores on sales of items.
- pythonaut_16 6y agoWalmart clearly falls under a geographic area. There's a physical store. You can measure the competition in that geographic area and you can look at what other choices consumers have. An iPhone is clearly a different case. Measuring what options users have is not limited by a geographic region but by what policies and app stores govern the device.