Because that disconnects the company from actual demand. Production of early versions is always more expensive because of the research & development, creation/

Because that disconnects the company from actual demand. Production of early versions is always more expensive because of the research & development, creation/configuration of the machines, etc, etc but the marginal cost goes down drastically. The numbers work out even better as you can amortize those early costs over a larger and larger production run. This means v2 and later editions are cheaper. It's text book "economies of scale"