(New) About why there are no software upgrades for Microsoft Smartphone
Unfortunately, the marketplace is not yet in a condition where MS can
distribute releases that will work on any phone. Mobile operators have large
incentive to minimize their support costs in order to maximize profits, and
there's nothing like rolling out a new Windows Mobile version to send the
support calls through the roof.
From my perspective, this situation is likely to persist for several more
years, if not longer. Operators will always be responsible for support,
which makes them more conservative, especially when dealing with devices as
complex as Smartphone. Ideally, eventually we get distribution into many
more networks, which increases the chance that someone will strive to
differentiate themselves by upgrading aggressively.