According to whom? The Android phones flying off the shelves are the Droid, Droid Incredible, Evo, etc. Ya know, the high end devices. There are indeed low end Android devices that fill out the market, but that's not where the majority of them are. Also, while yea, Verizon runs BOGOs on Droid (and all their smartphones), that doesn't mean people are only buying them because they're cheap. If that were the case, they'd be buying the Droid Eris in droves instead.
Not a single Android phone sells anywhere close to the iPhone. The original Droid is the top selling Android device, but it's not even close to the 3GS in sales. EVO sales are going to be heartbreaking. AFAIK, the N1 never even broke 200k. The other top Android phones are cheapos like the Magic, Dream, and Eris.

Oh, and FYI - just because Apple ran the "there's an app for that" campaign doesn't mean that no one has used it about Android phones. When that campaign started, the App Store wasn't that much bigger than the Android Market is now.
I think the Android tagline is, "There might be a port for that" :awe:
One more thing, Gizmodo ran a story this morning that said something like 81% of apps downloaded off the app store are free, and the average price for the remaining 19% is only $1.49. So while people might like their apps on iOS, its not like everything downloaded is a $20 premium app.
I don't understand the relevance.