It's all according to the previously openly aired plan. Google keeps all of the existing code open source. Anyone who wants to build a fork can do so. Now if they want a hardware platform to run on, go find one outside the Open Handset Alliance ecosystem. It's fair game -- if a hardware partner thinks that one of Google's competitors can provide a better Android fork, they are free to leave the Alliance and go partner with that competitor. They will still get an enormous amount of code for free in AOSP. They just won't get all of the services that Google is building specifically for its own version of Android. How is any of this maintaining an "iron grip" in any way? Just contrast this with Apple where it is the sole owner of everything to do with the OS and app marketplace.