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"The most common Android handset in use in the US of A "has very little to say about what the bulk of Android devices are, given that something like 80% of Android activations are outside the USA. Further, the discussion isn't just about cheap/underpowered hardware, but even adequate hardware that suffers for lack of effort/support. Hardware superior to Nexus builds routinely perform worse than Nexus builds. This is a consideration larger than what Android or the hardware in a given device can do.
> "Apple did what Apple felt was right for iOS to improve the operating system."
This I very much agree with. I think it's fine to say plenty of Android device makers will continue to release devices with much less thought to performance than Apple, or even Google, and these devices won't look or perform like iOS7, or even stock jelly bean on a Nexus device.
But I doubt very much that anyone at Apple spent any real time planning UI performance/feature tuning as a competitive advantage. This situation is very much like Apple tweaking the UI performance of the very first iPhone until animations could match the speed of touch-response. And they did this solely so that "dragging" an object appeared more 'real' -- to reinforce the concept with visuals and visual performance.
And they did that without regard to what hardware competitors might ship, or even what priorities competitors might have -- as there really were no competitors for the device they were building, when they were building it.
This blur and transparency is no different. It's there to reinforce the UI concept. This is more a story about Apple continuing to devote non-trivial time and effort tuning hardware -- and giving up general performance and battery life -- in the pursuit of a level of UI polish they are internally satisfied with.