> And make $250/hr contract rates. There is ludicrous demand for iOS work.

I don't buy this. Any links?

How many developers can expect such rates in face of more than 250,000 apps in competition? I think only some big publishing houses would pay this big money because in the long run they would get their money back.

Smaller companies would never pay this rate because AFAIK the average income for even very good apps is the range of some thousands or some ten thousand dollars. In case of say 10.000 dollars, all the money would be lost to the developer for just 40 hours of work, that's four days :-)