Obviously there was misinformation in the earlier post that announced the postponement of the release of the source code to Honeycomb. The quote below by Google’s Andy Rubin now clears the mist about the hitherto uncertain “change in strategy” with regards to Android.
Finally, we continue to be an open source platform and will continue releasing source code when it is ready. As I write this the Android team is still hard at work to bring all the new Honeycomb features to phones. As soon as this work is completed, we’ll publish the code. This temporary delay does not represent a change in strategy. We remain firmly committed to providing Android as an open source platform across many device types.
Now that Nokia has almost finished with the destruction of Symbian, keeping Android open will help even more OEMs adopt it for their devices, a move that at the end of the day will on forge ahead in the quest to keep ahead of the pack. So yes, Android is still open and Google has no intention of locking it down.