Is it possible that this experience was influenced in any way by the fact that they're trying to find a "Senior iPhone Developer" for under £40k? That's ~$65k, and thus roughly $100k shy of what you'd need to offer before you started to pique the interest of any good iPhone Developers in the current market.
The salary is inline with market rates. It's crazy to compare salaries across cities and sectors let alone across countries without taking into local factors (for example paid holidays and sick leave). Plus I think you have a vastly skewed market view, even in places like SF and NY very very few companies are hiring iPhone developers for $165k USD (feel free to post examples if you disagree). What do you think the av…
I know no business wants to hear this, but it's the simple truth.