The combination of "not my deal" and Apotheker's history and explain both killing the hardware side of things and the desire to head towards software/services.
How this plays out should be interesting to watch.
Software development is that grand conjunction betwixt puzzle and art
You must run Instruments using the base SDK version you are building for. For example, if you are targeting 2.2, then Instruments must be run with 2.2.
When you launch instruments from XCode, the base SDK version is lost somewhere along the invocation chain, so it always launches the latest SDK version. Just ignore the crash, go into the "Default Target" button on the Instruments toolbar, select "Launch Options" and change the simulator SDK version, then click Record to relaunch.