Apple’s App Store: monopoly or miracle?

“Launched just a decade ago, Apple’s App Store transformed our interactions with computers, phones, and the internet and remade the world of software,” Bret Swanson writes for the American Enterprise Institute. “There are 1.5 billion iOS devices now in service and 1.8 million apps available, which iPhone and iPad users have downloaded 130 billion times.”
“In a sane world where innovation is celebrated, such an explosion of choice, functionality, and creativity would be considered a miracle. Alas, although the app revolution is pretty amazing, not everyone is happy,” Swanson writes. “And earlier this month, the US Supreme Court ruled that consumers can sue Apple for overcharging in the App Store.”
“The Justices, however, don’t necessarily believe Apple has done anything wrong. That’s because the opinion did not address the merits of App Store antitrust — or whether Apple is in fact a monopolist that overcharges consumers,” Swanson writes. “At some point we’ll get back to the merits of whether the App Store (and other digital platforms) are harmful monopolies. And on this point, I continue to wonder how anyone can assert that the benefits — millions of apps, enterprise quality web services that are often free, one-day (instantaneous) delivery of multitudinous goods (services) — don’t massively outweigh the costs. ”
Read more in the full article here.
MacDailyNews Take: Yup.
The amount by which Apple Inc. has driven down software prices across the board, on every major computing platform, makes legal actions such as this eminently laughable. — MacDailyNews, August 16, 2013
Related articles:
Apple’s Supreme Court loss could change the way you buy apps – May 14, 2019
U.S. Supreme Court opens door for App Store lawsuit that Apple will likely win – May 14, 2019
Analyst: Apple investors ‘overreacting’ to U.S.-China trade war and Supreme Court App Store ruling – May 14, 2019
U.S. Supreme Court Justice Kavanaugh’s Apple App Store decision has ‘shaken up’ antitrust law – May 13, 2019
U.S. Supreme Court allows antitrust suit against Apple over App Store; AAPL slides 5% – May 13, 2019
Supreme Court rules against Apple in App Store antitrust case – May 13, 2019
Antitrust, the App Store, and Apple – November 27, 2018
Trump administration backs Apple in U.S. Supreme Court over App Store antitrust suit – November 26, 2018
Apple defends App Store fees in U.S. Supreme Court – November 26, 2018
Apple defends App Store fees as U.S. Supreme Court weighs consumer suit – November 23, 2018
Apple wants U.S. Supreme Court to undo previous decision regarding an antitrust suit – October 31, 2018
U.S. Supreme Court will decide if Apple’s App Store is an anti-competitive monopoly – June 19, 2018
U.S. Supreme Court to consider Apple appeal in antitrust suit over App Store prices – June 18, 2018
US DOJ sides with Apple over App Store antitrust allegations in Supreme Court brief – May 10, 2018
9th U.S. Circuit Court of Appeals revives antitrust lawsuit against Apple – January 13, 2017
Apple App Store antitrust complaint dismissed on procedural grounds by U.S. judge – August 16, 2013