Or, put another way: to have electronics so cheap today, we're sacrificing empowerment technology could give us. We have dirt cheap supercomputers in our pocket, but what for? They're just overspecced entertainment machines.

From what I've read online somewhere, Zero was a loss leader product made with input from Eric Schmidt, intended to be sold along attractive accessories. The Pi Foundation did try briefly but wasn't able to come up with the accessories, leading to that poor availability and WH variants that made little sense.

The poor avaialbility was largely due to the great pricing: small commercial users scooped them up in the largest quanitites that they could because they were so competative against other options both in terms of pricce and having the advantage of decent support¹ unlike other inexpensive SoCs. Max-per-customer limits imposed by some distributors were not hard to get around. That meant it was difficult for the individual tinkerers that they were aimed at to get hold of them. And once an availability gap was spotted in the market the scalpers crowded in, so even those commercial users had trouble getting them at RRP.

If the current models were any cheaper, that might happen again. It is one of those places where the infamous “what the market will bare” works against us: unless you are buying in bulk you have the choice between paying more or having no availability at all.

People are willing to pay more the rPi units because of the support¹ and reliability². I know I am, last time I wanted a small unit like that I went straight for an rPi without even looking at the other options that might have been cheaper.

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[1] official + community

[2] While not perfect in that regard, no supplier is, and the Pis do seem to do better than others in that regard, especially when compared to anything noticable less expensive.