And there's the final straw that makes sure my next phone won't be Windows Phone 7 based. It's too bad too, I liked some of the offerings. I just don't understand how Microsoft expects to compete as a huge underdog against the likes of Android and iPhone, and even Blackberry when they keep making decisions like this. iPhone has the market share, so they can make somewhat controversial moves without causing themselves too much trouble. Android has succeeded in large part because Google supported "openness" as a quality and characteristic of the platform. Microsoft, what's your plan? Mobile apps are being embraced in many ways as a way to establish a platform. Apple's "There's an app for that" is a perfect example. I'm curious to see how this decision will effect developers' willingness to program for WP7 - especially developers who feel strongly about open source.
Also, I understand that this policy goes beyond the mobile marketplace, but Microsoft has plenty of leverage in the PC and Console gaming markets - they don't have that leverage in the mobile arena, and I often think that they forget that.