Jim Cramer: Once You're In Apple's App Store, You'll Do Much Better
Apple's Worldwide Developers Conference (WWDC) begins Monday and its programming will take place in an all-virtual format, a change the tech giant made in response to the Covid-19 pandemic.
At this year's event, investors and analysts will be especially keyed on Apple's software and services-related announcements, given the critical role both will play during a challenging period for iPhone sales.
Apple is expected to introduce a new MacOS that includes a number of enhancements, such as a built-in language translator and improvements to heavily used apps like iMessage and Siri. Investors also will be watching for clues about Apple's reported plans to move away from Intel INTC and toward its own Arm-based processors.
But, ahead of the event, there's some controversy around Apple's App store.
Last week, EU regulators opened an antitrust investigation into both the company's App Store and Apple Pay units, with a focus on Apple's demand that developers use its in-App purchasing system to sell their products to customers. Developers are also balking at the company's demand to hand over nearly a third of any App's annual revenues.
House Democrat David Cicilline, who chairs a Congressional subcommittee on Antitrust issues, called Apple's App store demands "highway robbery" during an interview on Bloomberg television last week and called on CEO Tim Cook, as well as other big tech bosses, to testify before U.S. lawmakers.
Jim Cramer weighs in on Apple and the power of the tech giant, drawing from a real-world example.