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Did Apple Win? It's Complicated

Did Apple Win? It's Complicated
By Keith Teare • Issue #273 • View online
Not a Monopoly but must change payment rules
This week Apple declares victory in defending its app store from claims it is a monopoly while its enemies circle the wagons intent on freeloading on Apple’s infrastructure.

A day late. For that I am sorry. If you sit up waiting for That Was The Week on a Friday afternoon (pacific time), you will have been disappointed. Only joking. That said, my tardiness was rewarded by the release of the news about the judge’s ruling in the Epic vs Apple case. So I took a few extra hours to include the best coverage.
Regular readers will know that I consider the app store to be an important gain for developers and software users worldwide. Last week I pointed out that most apps in the store gain global distribution for free and benefit from the efforts Apple makes to provide them with tools and support.
For the small number of apps that charge, Apple takes a 15% share of revenue (up to $1m a year earned) or 30% above that. As a developer myself I was only too happy to pay that in exchange for the increased market that Apple’s ecosystem made available to me.
And given the existence of the web and Android, the idea that Apple has monopoly power was always silly in my view.
The judge partly agreed and partly disagreed. Apple was deemed to not be a monopoly. But it was deemed to violate California’s anti-competitive practices rules and told to allow mobile gaming apps to build in alternate ways of selling to players.
I personally disagree with that element of the 180-page ruling. I suspect it could, over time, disincentivize Apple from putting so much effort into developers and damage the entire ecosystem. I am sure Apple will appeal that part of the decision. I hope they win.
Also this week, a lot more on the changes in Venture Capital. Specifically the growing number of private equity players leading late-stage venture deals. But the best of the week is from Mark Suster of UpFront Ventures – a broad-ranging essay on the changing venture landscape.
More in the Video
Did Apple Win? It's Complicated.
Did Apple Win? It's Complicated.
Apple Wins, and Loses Too
Rulings in Facebook, Apple antitrust cases show how tough it is to define a monopoly in the age of Big Tech
Apple must allow other forms of in-app purchase, rules judge in Epic v. Apple - The Verge
After Court’s Apple App Store Ruling, All Eyes on How Gamers Respond — The Information
Apple won’t let Epic bring Fortnite back to South Korea’s App Store - The Verge
Apple not required to let Fortnite back on the App Store despite Epic ruling [U]
Apple Won a Battle to Lose the War | by M.G. Siegler | Sep, 2021 | 500ish
Don't Look Away, Venture is Changing
The Changing Venture Landscape. The world around us is being disrupted… | by Mark Suster | Sep, 2021 | Both Sides of the Table
Goldman Sachs says hedge funds are increasingly trying to compete with VCs in private deals
What's driving private equity's march on VC? - PitchBook News & Analysis
It’s time for venture capital to look beyond equity. | Forward Partners
‘This Is Europe’s Moment’: Lightspeed Venture Partners Hires Paul Murphy To Lead Europe Push
Goldman lines up $5 bln Petershill private equity asset float - Reuters
Banks are an Endangered Species
Bill Gurley
The fact that DLs have outperformed their peer IPOs destroys most of the arguments about why you need to knowingly “give away” your company’s equity to entice Wall Street. But I think there may be other factors (cont)…
Laura Cruz
Data shows #DirectListings have an average rise of 64.4% from their opening trading prices to Friday’s close, while the S&P 500 had a 26.8% return and the Renaissance index rose 31.1%, reports @maureenmfarrell via @WSJ
Crypto’s Rapid Move Into Banking Elicits Alarm in Washington
Pundits Rage about ‘Skewed’ New York Times Crypto-DeFi Front Page
The Metaverse
Here’s why SoftBank just invested in the metaverse
Theranos is One of Us?
Silicon Valley’s Hypocrisy Over Elizabeth Holmes — The Information
Tokens are Better Than Equity
Here’s a table that summarizes the similarities and differences of equity and tokens. They are in fact, very similar.
Voting & Dividends
Many of us have bought and sold equity; it’s familiar. If I buy one share of a public company stock, I can vote in the shareholder decisions and receive dividends if the board elects to issue one.
A token provides voting rights when it is a governance token that governs a DAO (Decentralized Autonomous Organization). A DAO is the governance organization of a crypto company. It functions like a board and shareholder base. A DAO manages the roadmap and the treasury of the business and evaluates ideas for the business that are submitted by the community. Should the DAO elect to distribute profits from the treasury, a token holder would receive a share of those earnings.
Taming Billionaires the Chinese Way
Startup of the Week
A Mammoth Becomes A Unicorn: Inside a Scientist-Founder’s Journey from Pre-Seed to Series D
Tweet of the Week
Tinder CEO Jim Lanzone will be next CEO of Yahoo following Apollo acquisition
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Keith Teare

That Was The Week is a editorialized and curated weekly look at developments in tech, startups and investing

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Keith Teare, Palo Alto, California