The games are pretty cheap when you think about it. Plus, how do you expect developers to make money?
Let's say I make a game, I put it on iOS and the eshop.
I make it cost $1 on iOs
I make it cost $5 on eshop.
I sell 10,000 copies on iOs = $10,000
I sell just 2,200 copies on eshop = $11,000
The iOS might be cheap, but most developers don't see their games sell well at all. For every Angry Birds there is (note that is the only example I can give you of a success not having a smart phone), there are 1000 games that might sell 100 copies, all for a $1 or free.
How is a developer going to make money like that?