$50 for an ipad word processor… for that price it better come with a free key for the upcoming Final Draft 9. Ugh.
There is nothing dangerous about lower prices. They make up the difference (and then some) in volume. I guess nobody in the software industry outside of Valve has ever heard a word Gabe Newell has said?
Whilst I’m not sure about the $50 price tag for FD for iPad (purely because I can’t think of any other iPad apps that cost that much), there’s nothing wrong with higher prices, either. It depends on your business model and your target user base. Games are a completely different industry - they are much more likely to make up for lower prices in volume. A niche application could easily drop its price and gain very little in volume. On the Mac and iOS, the problem is that Apple has started to set a precedent of low prices, but of course they are in the business of pushing hardware, not software, so can afford to sell software at low prices to attract hardware users… (Of course, as a user, I love low prices! )
I don’t love low prices for software. If I value the application, I want and expect to pay a reasonable price for it. That’s the only way to ensure that development continues. The idea that all software needs to cost less than $10 is idiotic, and yet I continually see comments (not necessarily here, where the commenters are much more intelligent) slamming developers who dare to get a fair price for all their hard work and ingenuity. I believe that Keith has hit the right balance.