FastLaneJB is of the view that "this is no different to Google as well. Personally I'm of the opinion that Americans don't care about the camera / video recording as much as Europe / Asia. Apple, Google and Palm are all US based companies and all didn't put too much effort into the camera side of things at a guess because their home market doesn't demand it.
Take video recording for example. Google's added it, Apple is going to add it and Palm have said they will add it as well but none of them deemed it important enough that it needs to be there for rev 1.0 of their OS. And to be fair they'd mostly be right as they can sell well enough without it.
I dont know about the Pre but the iPhone costs roughly $100 in BOMs to make. So if you add $2 say extra onto that but still sell the device for the same price then over sales of 1 million devices you make $2 million less dollars in profit. So a few dollars on production extra is a big deal.
Ignoring the iPhone the Android G1 and I think the Palm Pre are both capable of video. Android added it in 1.5 and Palm have said it would could at a later date. I think it's not so much the hardware but programming the software to do this is quite a lot of work.
So when starting with a phone OS from scratch it's just not seen as important enough for the effort involved to make these 1.0 releases."
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