The issue is when that interacts with this:
> I do believe Apple is anti competitive in the US due to this
For two reasons. First, if the flea market is being unreasonable, you can just flip them off and go set up your stall in a less unreasonable flea market. Whereas if it's Apple, you have to find a way to get a working account with them or you're done.
And second, because of that, it allows them to be unreasonable because the developers have no other options, whereas normally the different stores would be competing with each other for both suppliers and customers.
But it's not that different with Google, because of this:
> People want to be on the Play Store and not FDroid or the many others because that's where the customers are
And specifically because of why that is the case.
Why are all the customers on Google Play? There many companies in a good position to create a competing store. Major retailers like Walmart and Amazon already have your payment information, already have a system for vetting third party sellers, how come they don't have Android stores as popular as Google's? Shouldn't Paypal be in a good position to put up a store where you can buy apps via a URL to the developer's site? Where are these things?
It turns out Google suppresses them in various ways. Notice how there are zero major Android OEMs who ship a preinstalled third party store that isn't their own. Normally that sort of thing is like free money. OEM gets like $1/device from each of Walmart and Amazon just to put their store on the home screen. But that's nowhere. Weird, right?
Alternate stores in theory is not the same as viable alternate stores in practice.
So to reiterate, the problem is not that they can boot you out for arbitrary reasons, it's that they can boot you out for arbitrary reasons and then you have no viable alternatives. Then innocent people reasonably try to create a new account or do whatever they have to do given the circumstances.