[Ellipsis753]

I think it's just a usb stick with a bootable Linux OS on it? If so then honestly $7 is kind of expensive for that. I can get a USB stick for $5 and that's with postage from Amazon. I would think that in bulk and for charity you could get the prices down a lot more.

[tmikaeld]

If you add marketing, shipping, employees etc - the cost is actually extremely low.

[onion2k]

If you're spreading the marketing, shipping and staffing costs over n billion devices, it doesn't need to be very high.

[d23]

...

Seriously, think about what you've just written. They're raising $38 thousand, not $38 billion.