>But aren't they a dominant power already. Android can have 80% market share but the revenue reality is 2:1 in the favour of iOS.

A regulator/prosecutor will certainly try to argue they're dominant! But market power is measured by market share, not share of revenue. That'd basically find anyone that sells high-end products in any category as a monopolist.

>Isn't it anti competitive for a new service like a movie streaming app to be at a competitive disadvantage financially than if Apple decides to launch their own.

Apple is not barred from competing with anyone in the App Store, just as Walmart isn't banned from competing with any of the vendors they stock in their stores.