[kmf]

Yep, this is true. I should have been clear: two PROFITABLE distribution models.

There's always been apps on GitHub that you could compile and run on your device.

If you're looking to make an app your livelihood and Apple won't let you into the App Store (or, in this case, kicks out out), you're SOL.

[err4nt]

You could develop a subscription based service and distribute a client for it, this model would let you collect money from users on your website and allow open source and free mobile apps.

Netflix, Evernote, Skype, Spotify all make money and have mobile apps, but make $0 on the apps themselves.