Marginal cost of TV is $600, amortized business cost for projected sales is $400, expected average lifetime revenue from user data and ads is $60 ($15/"user"/yr for 5 years which is damn good for an ad network), throw in a 6.3% profit margin and we get TV priced at $999.99.
Throw away the ads and user data collection and up the profit to 10% to make it worth their while (since someone willing to pay more is on average worth more to advertisers and so decreases the value of their network) and we get a TV priced at $1099.99.
The product would work just fine without all the extra monetization, that's how it worked for the longest time. Nobody asked for savings trough selling their privacy, that was very much forced on us, and now they force the upsell to "enterpise privacy edition" as the solution to a problem they themselves introduced.
Marginal cost of TV is $600, amortized business cost for projected sales is $400, expected average lifetime revenue from user data and ads is $60 ($15/"user"/yr for 5 years which is damn good for an ad network), throw in a 6.3% profit margin and we get TV priced at $999.99.
Throw away the ads and user data collection and up the profit to 10% to make it worth their while (since someone willing to pay more is on average worth more to advertisers and so decreases the value of their network) and we get a TV priced at $1099.99.
This seems totally fair to me.