Plus Nokia certainly negotiated a great deal. If they get WP7 licenses for 1$ when others get it for 10$, they have room to provide better quality for the same retail price, while making comfortable margins. It's not because Apple develops its own OS that this strategy is the best for everyone. Nokia should better be the next Dell than the next Amiga. Also, carriers can't break WP7 like they can break Android (and block its updates).