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Also, if you're developing games for, a lot of the fragmentation issues are apparently the result of differing GPU performance between devices, which is a problem on iOS just as much as on Android.

I do agree with you. If we upgrade xcode or new os in older device, there is always an issue with performance.

You also need to upgrade RAM an other hardware

Okay, in that case, yes I do agree there is fragementation. However, I argue being a single OS distributor Apple's move forcing people to move to newer device, SDK and standard helps to achieve the long term goals.

When was the last time you ever thought about upgrading to Android officially from your phone's? Well, at least for contract phone I have I can't upgrade unless Motorola supports it and doing custom build is a lot of work and I care about stability. For the iOS I wait a bit before upgrade (usually 2-3 months after each new release of iOS).