As an American-centric view some, by no means all, of that may be appropriate. But that is not the case in the UK and elsewhere.
The iPhone is available on all of the UK's five mobile network operators and via many of the MVNOs too.
Having both an iPhone and Nexus One in daily use, side by side, I still am left with the feeling that Android is the less "polished" OS of the two. I run a lightweight set of apps on each and yet the Android OS still stops, pauses and stutters in its regular use - and that is with Froyo. Android 2.2.1 is just so damn sluggish in comparison to the iOS 4.2.1OS. And this is on arguably Google and HTC's flagship reference Android handset. No, sorry people, this is not something you're going to want to hear from me but my opinion of the Android OS leaves it running some way short of iOS as things currently stand.
Now, in credit to Android, the relative openness of the OS (and I do not include Rooted devices) is a bit of a blessing in respect to iOS. There are a few [network utility] apps in Android that simply would not be approved on iOS. And that is a real crying shame because these are bona fide tools that any self-respecting technician or engineer would want in their collection of kit to be used in daily business.
Cheaper handsets? Well, yes, I suppose so. But my 16GB Nexus One did not arrive with its 16GB of memory storage, and in that respect it falls short against the 32GB iPhone. At the time of purchase, there simply was not the option of a 32GB micro-SD card. Even at today's rates, a 32GB micro SD (type 2) is ?73 (or $114) which is a large add-on to the purchase price of a SIM-free Android.
Cheaper Handsets? Well, yes, how many even approaching the build of the iPhone 4? Not too many I would contend. I'm even questioning the new Nexus S against the original Nexus One in terms of build and comparative features. It doesn't get any better when comparing agains the iPhone 4. And the claims of "antennagate" are near-fiction - it is nowhere near as bad as the sensationalists would like the world to believe.
Bias and Balance:
That is the trouble with any discussion along these lines. Bias creeps in and balance can be lost.
I love the Android OS and want to see it do very well. It is vitally important that there is a challenger to iOS dominance, and it does appear to have established itself as a credible OS. With these two slugging it out for market penetration it will [hopefully] keep the incumbent rivals sharp. Symbian, Microsoft and RIM have all become woefully stale - even their latest incarnations leave something to be desired.
So, power to them both Here's to an exciting 2011