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The Confederate flag was not originally a "racist" symbol. People think it is now because people overgeneralize everything associated with the American Civil War.
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The flag's designer, W. T. Thompson, called it "The White Man's Flag", and also said: "As a people we are fighting to maintain the Heaven-ordained supremacy of the white man over the inferior or colored race; a white flag would thus be emblematical of our cause." Also: "As a national emblem, it is significant of our higher cause, the cause of a superior race, and a higher civilization contending against ignorance, infidelity, and barbarism."
But regardless of its origins, I don't know if outright censorship of it (such as what Apple is doing) is the right call.