Hosts Chamath Palihapitiya, Jason Calacanis, David Friedberg, and David Sacks explored calls to break up giant tech corporations and halt monopolistic tactics in the final two episodes of the “All-In Podcast.”
Apple’s App Store: Rather than carving off business pieces, Apple Inc. (NASDAQ: AAPL) is being criticized for its iOS app store policies. Apple has said that third-party app shops put phones at risk.
Sacks claims that the extremely profitable app store will account for 10% of Apple’s 2020 sales, and he supports the addition of third-party app stores.
Several hosts said that Apple possesses the same power as Microsoft Corporation (NASDAQ: MSFT) did when it was supposed to have a monopoly on Windows.
Calacanis said, “It’s worse than Windows.”
Palihapitiya believes that the faster Apple’s app store is updated, the better it is for app developers.
Palihapitiya stated, “iOS is a complete monopoly.”
Palihapitiya believes Apple’s argument about competition from Alphabet Inc (NASDAQ: GOOG)(NASDAQ: GOOGL) and the Android app store falls short.
Palihapitiya points out that while Android has more users, the average revenue per user is modest, and Apple remains the preferred platform for app developers due to the revenue opportunities. The host pointed out that when Snap Inc (NYSE: SNAP) went public, it didn’t even have an iOS app.
According to Palihapitiya, breaking up the 30% income grab is a great first step, and Apple has done a good job with privacy concerns, which will need to be considered for repairs.
Friedberg’s claim that Apple should change its policies to match user demand, such as integrating Google Chrome on Apple devices, was promptly debunked by the other three.
“The amount of money Google pays Apple for search is the only reason Chrome is there,” Palihapitiya remarked.
Associated Link: Chamath: 5 Things You Might Not Know Palihapitiya
Big Tech Dismantled: The hosts discussed their ideas on breaking up Alphabet, Amazon.com, Inc. (NASDAQ: AMZN), and Facebook, Inc. over the final two debates (NASDAQ: FB).
Palihapitiya said, “I wish these companies are split up.”
Palihapitiya noted that the FTC’s premise that Facebook has a monopoly has been shattered by the rejection of a case against the social media company.
“The argument to break up Facebook is the weakest of all the large internet companies,” Palihapitiya added. The hosts covered Twitter Inc (NYSE: TWTR), TikTok, Snapchat, and other competitors.
On Twitter, U.S. Senator Elizabeth Warren made a remark about Facebook having a monopoly, which the panelists described as humorous because it demonstrated that Facebook has competitors on Twitter.
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