I really wish this blog post would quit being passed around as Amazon screwing every developer in the world over. I don't know how you can rationally believe that they would offer to give your app away to thousands of people who have no intention of spending any money on the app besides the fact that it is free for the day, and just handing over free cash based on the random number of people who clicked 'download' that day.

The whole point of being featured as the Free App of The Day is for exposure. Not monetary handouts.

I'm not expecting Amazon to hand out money to developers. But, as a developer* , I don't want to put myself in a situation where my work (that I would have otherwise charged for) is being given away for free.

Conversely, as a user, if there aren't quality free apps in the amazon store, why would I use it in the first place? I can get the same content from the built-in Market.

So, from both a developer and user standpoint I see no reason why Amazon should "take over Android app distribution".

* Hypothetical, I don't develop for mobile at this time.