The Pew Research Center says the dependence on smartphones is 20% and under for all age groups. Possibly because a smartphone is a form factor and not a unique computing device.
Let's assume that 20% is accurate. Does that mean you believe that 20% of people who actually depend on a smartphone should be at the mercy of the decisions of Apple and Google? That there is no government interest in ensuring that apps that try to sell to these people are available in a fair and competitive market?
that’s a different discussion than can you use an Apple Watch without an iPhone.
You still require an iPhone, which means that the Watch is not a standalone device that can replace smartphones in function. I doubt that the marketing states
A flip phone with a camera could read a QR code. And that is not a situation that goes into the decision making of regulating smartphones.
Only some flip-phones can read a QR code. If the QR code takes you to an app (rather than website) that flip-phone remains useless.
It’s a red-herring. Cellular companies get you on the bandwidth. They didn’t start their business with iap. Nor do they pretend to be marketplaces. I want to know why you believe this is an apt analogy?
Apple also makes money from phone sales.
Cell companies
did try and collect a commission on ringtones (can't remember if they tried to get a commission on apps) but they
did try and dictate which apps could be installed. Carriers absolutely tried to be the marketplace for Apps.
This power of the carriers was broken because Apple used its market power to negotiate with cell companies.
Similarly Netflix and Amazon have used their market power to negotiate so that they don't have to pay Apple a single penny while having apps that require a subscription on the iPhone. Smaller and less prestigious devs do not have this power to negotiate (game devs that make up the majority of Apple's IAP revenue are definitely smaller and less prestigious than Netflix). As such they are forced to resort to other methods (lawsuits, courts) to try and get Apple to change their ways.
Cell phone companies absolutely
could try and go back to this model, the only reason they wont is because the likely loss of the iPhone on their networks is a bigger deal than gaining some share of the transactions that flow through the iPhone. As I said above, these market forces don't work for developers because they lack negotiating power as individuals and only in aggregate would they have any power, but they also lack the correct incentives to actually form something like a developers union.
However, if the carriers were to start taking a share of each transaction on their network I have no doubt the government would step in.
Try to buy bandwidth from the government to form your own cellular company and then come back and tell us how competitive the market is.
Ah, but that as you keep trying to say, it doesn't matter if one side of the relationship is competitive, only if the consumer side is competitive. From a consumers perspective it is very easy to switch carriers and the cell phone carrier market is quite competitive (especially in Europe and other places).
Further, just like it is very hard to start a new carrier it is very hard to start a new smartphone platform, perhaps even impossible due to network lock-in effects. After all MS tried and failed even when trying to pay devs to build for their platform. There just doesn't seem to be enough developer time and money in the market to support more than 2 platforms.