[nemothekid]

>The market moved from a school having a couple of slow computers to everyone having multiple supercomputers.

This is exactly what he says here:

>Hardware always starts expensive for early adopters and gets radically cheaper as adoption scales up.

[baka]

Not really, I'm emphasizing that not only did things get cheaper but the market also moved. Things went from having different capabilities to were a netbook could essentially do the same things as a server farm or a workstation. Electronics hardware "always" existed in the form of game consoles, just not as personal computers. With many of these new things the premium segment is the market. Something custom is never going to be cheaper than the alternative. Once you've established a brand and market share you're probably even going to want to up the price.