There's certainly an element of truth in what you say. I think most of the customers for the $200 computer would be new customers, not existing Apple customers

There's certainly an element of truth in what you say. I think most of the customers for the $200 computer would be new customers, not existing Apple customers. And over time, after having used a Mac they might buy another more expensive one later on. (Particularly if their experiences with Mac OS were better than witrh Windows).