My LG Incite from 2008 running Windows Mobile 6.1 had an FM Radio, as did my HTC HD2 from around the same time. There were multiple Sandisk Sansa series MP3 players that came with FM built-in as well.

I remember the iPod did not offer FM without a dongle, probably because they didn't want radio to compete with the iTunes Store. It's probably not that different now. Lots of Android phones today (carrier subsidized or otherwise), now come with Spotify, Tidal or Google Play Music pre-installed.

It worries me that a regulatory body makes a public safety case for FM radio and won't even attempt to ask manufacturers to simply activate what is already there, in deference to "the free market". So now pushing for regulation is disrespecting "the rule of law"?

Developments like this make me wish that "open-source" device+OS projects like Mokophone and Firefox OS failed to gain traction.