Blur is not an operating system. It is a skin or User Interface place on top of Android which is the operating system. Your phone is running Android 1.5 which is the equivalent of Windows 95 or thereabouts.
As to Motorola having failed to provide working software, that is clearly not the case as you have been using your phone for some years. That there are issues with functionality is par for the course. That happens with all phones just as manufacturers deciding to stop updating does.
Why don't you just finally get around to grabbing the bull by the horns and ditch the phone, or better yet install CyanogenMod on it.
Talking about it forever isn't going to fix it.