What evidence do you have that "Different screen resolutions, processor speeds, and memory sizes" are "starting to really hurt Android"?
All the evidence I've seen is that Android is rapidly gaining both market share and mind share among consumers. There are several hot-selling Android phones. There are several high performance Android phones, with different stuff emphasized, like a big screen or a special software suite. And there are several el-cheapo Android phones. There are even some locked-down Android phones.
All the evidence I see is that Android is tailored to meet the desires of many different types of phone buyers, and that far from starting to hurt Android, it is starting to make Android huge.
What are you talking about? I said nothing about selling devices. I talked about the struggles us developers have in testing and developing apps which run at multiple resolutions, multiple processor speeds, multiple OS versions, multiple devices etc... It does not work well if at all across all the Android devices even if they are running the same OS version.