Issues about AT&T, DRM, ITunes have nothing to do with why the majority of users have smartphones and are relatively small issues compared to the big picture.
Considering most people, non-geeks, usually want the phone primarily to a) make calls and b) listen to music, those are big issues to that demographic which is why AT&T and iTunes can easily be a deal breaker.
AT&T's bad network is only an issue in the United States.
That's where I live, so whether the phones work good in Timbuktu is of little concern and the population of California, the largest of any state in the US, is a significant market share.
Last year, before the new batch of Android phones of 2009, Android as a platform was tiny and with too little apps support and basically a sink hole.
We're not talking about last year, we're talking about today.
Today Android has rapidly out paced Palm in the apps dept. and is quickly creeping up on iPhone.
I want to know about Google's finances and all the other stuff that is needed for the company to be taken seriously for a long time.
When people are buying a phone it never crosses their mind.
Can I easily see the screen? Can I easily type on the phone? Can I easily make a phone call?
That's what consumers care about, not Google's financial welfare.