What do you expect apple to do, never upgrade their phones? When they bring out a new phone they make it faster, meaning the other ones are slower. They only bring out 1 phone a year anyway and my iPhone 4 can handle IOS7 easily and that came out 4 years ago (maybe 3 correct me on that). Yes I can admit that 3GS sucks now, but you can pick up a iPhone 4GS for $500 ( http://store.apple.com/au/buy-iphone/iphone4s) brand new straight from apple.
I don't understand what your getting at, I don't know much about android but if their not making their phones faster every time they release one then that's a ****ty company and apples better.
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iPhone 5s for 500$? Sorry bud. But not many parents spend 500$ for a kid to have a talking piece of glass... A 16 gigabyte Galaxy S4 costs only 200$.