People are all about free market and the like but the moment the market doesn't agree with them they start complaining, Apple is free to ban or sell whatever they want, and you're free to go somewhere else to buy it. Whether it's wrong for them to ban X or Y that is subjective and non important.
I'm not from the US or have ever lived there, BUT from what I know this flag has been used by groups such as KKK to represent themselves, and it was used by the side of a war that wanted to keep having slaves, SO, with that in mind, I could see how african americans will feel it's wrong for people to wave these flags around specially in public government buildings. As for the games that show the flag etc, I don't see a problem about historic games (not those glorifying the flag or its racists background) showing the flag specially if its for historical accuracy. But you know, someone will make some sort of website where you can buy all this shit and install it in your phone, that's the way thinks should work imo.
And for the people saying this is all a "knee jerk" reaction, I wonder how they want people to react and go about making things better once it becomes glaringly obvious it is. In Australia it seems like they banned guns after there was a really terrible shooting and they said they had enough, should they NOT have reacted to it? would that have pleased the "knee jerk" alarmists. And let's not forget that certain group of angry internet idiots got REALLY mad REALLY quickly about certain articles on the internet and in mass requested a sponsor to withdraw backing from a certain website, that sounds pretty knee jerky to me as well, yet it's not wrong when the other side does it.?
Individuals in the US are free to have their flags and wave it on their porches, even start making and selling their own flags since now they can't buy them at walmart and the like. Seems to me like they are defending a symbol for all the wrong reasons and can't even imagine how anyone might be offended by that flag when in their minds its all well and good, never bother to look at the other side of things. Guess that's what happens when your side has never been the target of so much discrimination for so long.