Look at the state of Xcode, a tool that's fundamental to the iPhone's appeal. Every developer knows that this thing needs a massive rewrite. The word is that nobody within Apple even understands it thoroughly anymore, so it's way past time to strap it on and build a modern tool from the ground up that's maintainable, instead of slapping band-aids on Project Builder indefinitely. Come on, Apple, you can afford to throw resources at this for a year and just get it DONE.
Meanwhile, Apple is letting open, "urgent" QA personnel requisitions sit unfilled for YEARS. We can all see the results.