2) No user expandable memory, while there are 4 versions of the iPhone most of the i"device" releases actually have several versions (based upon connectivity and memory options).
Is buying a 32GB iPhone any different than buying a Droid X whose memory expansion is limited? Or am I incorrect, and can you expand a DX as high as the size of RAM permits?
In the end the hardware and OS integration will define market share.
True. And to be fair, it's hard to see where Apple, who has complete control of both, won't have an advantage.
The other thing Apple exerts more control over, is the user experience. If someone buys an iPhone 5 and it sucks, it's all on Apple. If someone buys an Android device and it sucks, it's not all on Google. That said, Google will always enjoy the advantage that an open system platform brings. Regardless, as a consumer, I want the option of buying either.