@Frank,
I agree with you 100%, even the way you made your point. Years ago, before the SqueezeBox etc., I made my own musicserver based on a fanless barebone (the AluBox) and a RME soundcard. I wrote my own player and had an interface trough bluetooth on a Nokia symbian phone. I wrote the whole thing in a few weeks time ... no big deal. That is also why I do not understand why M does (did) not make their own musicserver and in my opinion wastes money on buying Sooloos.
How many hours of labor? How much per hour for the labor? How many units are out in the field to support?
There's usually a huge difference between code you write that you're going to support yourself in an in-house system and code that goes out into the open.
Most of the cost in these units is in up-front cost, i.e. it might have cost Sooloos $5 million up front to make the first production unit and that has to be amortized across the entire sales of the product.
Is it the right price? I don't know. I'm not involved in the marketing end of anything and I leave it to people quite a bit more knowledgable than me in this arena.