I'm in charge of managing mobile application development at my company, and I am currently building a mobile device "library" for testing. Essentially, we want to have a representative device in-house for each of the OSes we are developing for, currently iOS (iPhone-only), Blackberry, and Android. Simulators only go so far, but I'm placing into the process a step to test software on the devices themselves.
The problem we're finding is with Android. I don't think any of us here ever really understood just how fragmented the whole platform is until we started looking at devices to acquire. We are going to wait until v2.3 of Android is released, but which products to choose? Do we go by the most popular by market share? Do we get a small range of products by specs from least to most powerful overall?
We're trying to avoid having to manage a dozen different devices to test each app, if not because of cost if only for the repeated time sink.
How do you manage the testing of your Android software on physical devices?
UPDATE: To bring some context to what I am asking, the applications being created are for educational purposes only, and there are no plans to use any of the hardware features of the devices themselves. We are simply displaying content in a variety of ways: eBooks, test questions, flash cards, etc. that may or may not be downloadable content. So, no cameras, GPS, user-driven content management, or anything like that; just as device-agnostic as we can possibly make it.