Apple doesn't just own the only app store on their platform: They also prevent apps that don't meet their personal moral standards on the store, arbitrarily. As a result, Instagram, tumblr, and many other sites are forced to censor and curtail content on their platforms because of apples perpetual moral consternation.
Apple should be able to do this - but they shouldn't be able to do it without those companies being able to represent themselves independently, through another app store.