I was under the impression that the carriers and manufacturers modified their phones so they could differentiate themselves. There's the revenue opportunities, sure, but they have to do something to stand out.
Now here's the crazy part: no one is selling a device with stock Android. If your phone was straight Android 2.2, it wouldn't look like any other phone on the market. The minute Motorola or LG realize this, they get 100% of the nerd phone market.
It's usually not up to Motorola or LG. It's the carriers that add (or ask to add) these additional/non-stock features. I'm curious what the state of Android is outside of the US - do carriers in other countries add the likes of V-Cast or a NASCAR app?
In Australia, the biggest carrier Telstra generally adds a tonne of crapware, and several people I know with htc desires have links to various telstra features that are broken on the default firmware. I seem to recall the reason telstra didnt get into the iphone game until significantly after the other carriers was because of the iphone impeding sales of telstra 'services'.
We also have the more budget oriented virgin mobile who have generally little to no customization depending on the phone.
There is no need for differentiation when serving up bits and bytes. There is a need for competition on quality of service, customer support and pricing.
EDIT: Clarification, I'm referring to the carriers. The manufacturers need differentiation, but would be better served doing so through hardware.
Now here's the crazy part: no one is selling a device with stock Android. If your phone was straight Android 2.2, it wouldn't look like any other phone on the market. The minute Motorola or LG realize this, they get 100% of the nerd phone market.