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Yes there is the software development cost as well.
Harry has mentioned differing regulatory requirements for type approvals; aligned with those are also the differing band plans for the spectrum used for FM broadcasts around the world as well as the differing channel center frequencies used.
So it is easy to see why this all may be just to costly if there is not much market demand and why it may be that only phones going to one or some parts of the world are supported and the rest not.
Regarding regulatory requirements for other functions:
GPS is another which has, of course, been disabled in phones because of regulatory requirements but less so now (without any checking by me I think only Syria and North Korea left now, but I recall Egypt was toying with doing so too, but don't recall where that got to).
WiFi has also been disabled as not allowed in some countries but without a search am not sure who left now.
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