The history of small personal items suggests that fashion houses will eventually win out over technology providers (Swatch vs. TI & HP in digital watches) in appealing to the masses.
Apple is more fashion and design centric and Android is more about a technology standard. If fact, Apple's current product choice selections for their store make more sense from the fashion and design point of view (we want our Mail app in these fall colors and our media player with this cool button pattern and fabric texture). And the masses apparently think that a selection of multicolored flashlights is cool (similar to the impulse items next to the register at Walmart, which are usually quite profitable).