That argues for opening up the hardware more, not closing down the software.

In fact it further argues that the degree of vertical integration is monopolistic. Why should a Sony CMOS camera be tied to some Apple computational photography code only available in Apple firmware or iOS? What if I do not like that it makes up images that don't exist? What if someone has a better method but now cannot bring it to market?

Break it up and open it up. I assure you it can be done.