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Because that's how competitive markets work? Lower costs for suppliers (developers) means lower equilibrium market prices. If some developer can "get away" wit
by nikitaga 6y ago
Because that's how competitive markets work? Lower costs for suppliers (developers) means lower equilibrium market prices.
If some developer can "get away" with not lowering their prices in response to reduced costs, it means they could have "gotten away" with charging a higher price in the first place. So why aren't they charging a higher price now? Probably because they can't actually "get away" with it, i.e. they would lose more volume to make the increase in price unprofitable.
Most consumer software has tons of competition, almost nothing is so unique that consumers wouldn't respond to relative price changes.