In some hypothetical universe where the Watch and iPad were from distinct companies, they might have to force interoperability with other products like the Pixel or Galaxy Watch to make the iPhone a compelling product.
In some hypothetical universe where the Watch and iPad were from distinct companies, they might have to force interoperability with other products like the Pixel or Galaxy Watch to make the iPhone a compelling product.
You could argue separating the services components (App Store, TV+, Apple Music) from the devices business, but I don’t think there’s any validity in segmenting iPhone from anything else or any of their hardware business as a whole.
In this case there's a perfectly usable market solution to the problem.
Apple should be allowed to ask for any %cut they want, but others should be allowed to compete on equal footing and without Apple positioning themselves in the middle of every transaction, which is how they're trying to work around the EU DMA using notarization requirements and their "core technology" fee.