[JRobertson]

One rather large way that they can distinguish themselves is version updates. I'm pretty sure that that reason alone is a large factor behind their success (not primary, or even majority, just large).

Many android users have two options: keep using an older version of android or root their phone and pick up a new OS to get the latest and greatest. CM is the best OS for many models and makes of phones.

I also think their current success up to this point indicates the potential in the market. Something has brought in their millions of users. I'm don't think there is a problem of how they can distinguish themselves as much as there is the question of what have they already done to distinguish themselves and will it scale?