> I was referring to the distribution of the licensed technologies by Apple to the hardware purchasers.

I know. My point was that distribution of the licensed technology by Apple to iPhone purchasers does not thereby allow third-party iPhone app developers to distribute their iPhone app executables to other iPhone purchasers.

> Returning to your own interpretation though, the hypothetical community SDK wouldn't contain proprietary code, so the distribution aspect is solved there. It's the same principle by which homebrew game console scenes work, or how you can build Windows software on Linux without touching any Microsoft code.

You appear to be focused on the building of iPhone apps. I'm focused on the distribution of built iPhone apps. This is why I said, "The developer tools are relatively unimportant, which is why Apple gives them away. Distribution is everything."

In general, consumers are unwilling or unable to build their own apps. They need precompiled executables, distributed by third parties, to easily install on their devices. The hypothetical FOSS SDK is a red herring. I don't see how the consumer's right to use the iPhone automatically grants a legal right for third-party developers to distribute executables using Apple's licensed technology. There are other consumer products that allow personal use but don't allow redistribution.