I thought the clause in question was for iPhone SDK 4 apps. Since v4 isn't shipping yet, it doesn't apply to any of the apps in the store now.
As for the question of interpreters, I though for the current generation of apps, the issue was with 3rd party interpreters that allow the interpretation of arbitrary code. Code that is embedded in the app at approval time isn't an issue. Isn't this why frotz can only run games that are bundled with the interpreter when it is distributed through the store.
As for the question of interpreters, I though for the current generation of apps, the issue was with 3rd party interpreters that allow the interpretation of arbitrary code. Code that is embedded in the app at approval time isn't an issue. Isn't this why frotz can only run games that are bundled with the interpreter when it is distributed through the store.