I think Godin could have studied the market a little bit (a lot) more accurately.
Both producers and customers love always-on connectivity: it is a great sales driver and it is comfortable.
From his article it is difficult even to understand if $49 is a producer cost, a customer price or a subsidized price. $49 is indeed very very low, even taking in account only the screen.
Finally, more important: how long do you think you can keep selling 0.1MB at $10?
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