The undo would be part of the keyboard not android I believe? Plus its pretty dumb if your lazy enough not to retype something.
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1st thing is it may be made part of the keyboard, but because there is not a native undo, it makes it very difficult for devs to implement.
2nd thing is you are not thinking on a large scale or thinking productively.
Re-typing anything, especially on a soft keyboard can be tedious at best and potentially impossible at worst if it was a long creative thought.
You are thinking about the loss of a few characters. This is not always the case. What people are complaining is, on many occasions, while copy/pasting text, instead of pasting AFTER the existing text, it is very easy to past OVER the existing text. I have seen a whole page email erased this way. Is this "Dumb"? Yes but it still happens. Am I "lazy" for not wanting to type the whole thing again. I don't think so. Android's Copy / Paste is not as user friendly as our PC equivalent. A simple Undo - even a single layer - would fix this.
Now as to Android as a market share. Win7, Palm and Apple devices have this feature. And with the New iPad, there is even more reasons to strive to be better.
The fact is that Google Devs have been blatantly ignoring the Users and I do mean ignoring, there has been request for this on Google Bugs for over 2 years and NO Google Devs has ever responded.
If you are happy with that then ok, that's you choice, but hopefully you better understand the issue.
Please notice I responded to your post WITHOUT flaming you with comments like "Dumb" and "Lazy"