FWIW, it doesn't matter if Google buys a baby mulching building (all running OpenBSD, natch'...), starts selling your information to advertisers (I mean really, not selling services to advertisers that work more effectively because Google has information about you, I mean actually selling your name, address, and fetishes to anyone who wants to advertise with them), arranges a Presidential assassination, blows up the Empire State Building, and worst of all, builds a private monorail to ferry employees between San Francisco and its offices.
Even if Google does all of those things, Android is still open.
This story is not about whether Android is open. It's about whether Google is putting pressure on its partners to ensure they stick with Google's vision about Android when distributing it, and likewise whether Microsoft are doing what they've done since the dawn of time.
Is Google right to this? Probably not. That said, the backlash seems far greater than it ought to be, probably because of a combination of anti-Google shill campaigns of late, because people expect Google to be better than this (nobody expects this of Microsoft which is why it's not a shock), and because several other things they've done lately with Android, such as pushing GMS, which were actually aimed at ending criticisms of Android for being "Fragmented" have been closed and against the entire perceived ethos of Android.
Also their search engine is worse than BIng these days, and that's not because Bing is any good.
Android? It's still open. Ask Amazon. Ask CyanogenMod and the non-commercial phone modding community. Google can't, and probably won't try to, close it. They will continue to try to control it, understandably, but the cat is out of the bag.