> Phone OEMs seem to be in the same situation with Google that PC OEMs have been with MS. They are entirely subject to the S/W maker's diktats
Except for those that aren't, these include Nokia/Mocrosoft X, Amazon Fire, Cyanogenmod, and many Chinese makers.
> and are vulnerable to the S/W makers moving into H/W any time they choose.
Google moved into HW with Motorola and with Nexus. That didn't make anyone feel vulnerable.