Not the case in software - rejected iPhone Apps didn't get a chance to see the light of day. If Apple reject your app, you can't go to the next publisher ( or website ) to offer your goods as you can any other smartphone O/S or operating system. So, its not the same.
I'm sorry, but any developer that entered into iPhone development without knowing that there is a chance Apple may deny your application, which was stated during the announcement for the initial SDK beta, is a fool. Knowing this fact, a developer would have to decide if they wanted to spend the time creating an application on the chance that it may NEVER see the iPhone home screen. If they chose to go ahead, and the app got rejected, tough noogies.
Now please don't get me wrong, I think Apple could do a MUCH better job in stating what they will and will not reject, but ultimately, it's not like no one knew that their app might not pass the test.
I would like to see Apple start a pre-approval system for apps. That way, you send them an outline of what your app will do, possibly even some screen shots or general screen layout drawings, and they reply with a "continue" or "don't bother" stamp.
Under this system, there would still have to be the final approval stage since I'm SURE some of the developers would take advantage and try to add some of the things that have gotten apps rejected to date to their programs after the pre-approval. At least in a system like this, a developer would not have to spend the 1000s of hours (a number I don't agree with but alot are thowing it around as the general app development time) only to find out they've been rejected.