Sounds like whoever wrote it doesn't know too much about the App Store as a consumer or developer.

The truth is that as right now, ~78% of apps in the App Store are free to download/play. The remaining ~22% that are paid stack around the $0.99 price point, which is the lowest possible price tier for a paid app.

I don't see how this "monopoly" is raising prices...

Opening the store in a way like the one being described would result in malware and low quality apps. It'd add clutter and an incredible amount of noise (aka. Competition) hurting developers and consumer.

It's a lose lose situation IMO.

If you need proof just look at Android. Lots of stores, low quality apps, and a very fragmented way for developers to monetize.