The manufactures aren't trying to destroy Android, but the negligence is sure to stunt its growth. As long as Android is free and provides a good tech demo companies will continue to use it to sell the newest version of their phone.
Without a more cohesive foundation it will probably stagnate though. The same thing happened with Linux; 'the year of the linux desktop'. Linux has survived not because of market viability but because technical people liked it. It still doesn't have more than a couple percent of marketshare (in the consumer market.) Android has an advantage in that smartphones are more integrated platforms than desktops, and people expect less expandability, but each smartphone will be a part of the manufacturers brand, rather than the Android brand. On a fragmented market it's much more difficult to deliver expanded functionality in the form of applications to consumers. It will be more like the crappy java games that you'd see on old phones than the market for desktop software.
It's a new concept for phone companies though, and they'll probably start updating the OS once they get used to it. If they don't though, Android will probably see a limited success.