The Law of Unintended Consequences gobsmacks Google thanks to Android

This report from SearchEngineWatch.com strikes me as a prime example of the Law of Unintended Consequences: Apple and Microsoft are in talks about using Microsoft's search engine Bing as the default search provider for the Apple iPhone. Apple it seems doesn't want its phone competitor with its own Nexus One and Android operating system to have access to iPhone customer data. But hasn't there been talk of Microsoft bringing out its own smartphone codenamed Pink? So what then for poor Apple? Why can't it with all its creative talent develop its own search engine for its own products? And there's always Yahoo!