The best post I have ever seen on an Apple Fan Site!! FINALLY, someone understands.
Market share absolutely matters to developers, and by extension should matter to end users . If there's one thing Ballmer has right (and he doesn't have much), it's DEVELOPERS, DEVELOPERS, DEVELOPERS!!! I HAVE to have a Windows machine sitting next to my Mac - I have to have AutoCad, I have to have Oracle Primavera PPM, I have to Loadspring (which requires IE), I have to have several other pieces of Engineering software that isn't available on the Mac. Why isn't it???? Because developers have little interest in developing their software for a machine with a 5% market share...
Same thing WILL happen to iOS if Jobs doesn't wake up..
And PLEASE, some of you, what the hell do I care as an end user what Apple's "Margin is", or "how much profit they make".... I could care less.. I would much rather the Mac and the iPhone to have industry standard software available to it - and the Mac doesn't and iOS won't if Jobs doesn't get his head out of his ass (again)....
The problem is that people who get their phone for free and have it loaded by Verizon with all kinds of confusing options are a lot less likely to buy an app. The sell-through rate for Android apps is abysmal. Despite Android overtaking iOS in the smartphone market (if you exclude iPod Touch, iPad, and AppleTV), the vast majority of the money to be made by developers is on iOS and that is changing far, far less rapidly. As long as that remains the case market share really doesn't matter.
I agree that going to Verizon is important for Apple so they can go toe-to-toe with Android. But only if Verizon isn't going to ruin the iPhone experience. That will devalue the product beyond any gains the market share would boost it for developers.
Besides, T-Mobile and Sprint together are more people than Verizon, so Apple shouldn't feel like Verizon is necessarily the only target here. If everyone but Verizon had the iPhone they'd have a lot more bargaining power to keep the iPhone's quality up despite Verizon demands.