I honestly don't think it's insane at all. Middlemen are everywhere, and if a government body wants to complain about taxation, glass houses...

Before iPhone and Android, it was infeasible for small-time devs to sell apps pretty much at all. The two are in hot competition still. Nintendo etc aren't in trouble cause they just stuck to closed systems. If building platforms becomes less profitable, fewer platforms will be built, which so far has been the story in the EU.