The PRICE of TECH
Of course, with a vengeance the media is covering the struggle some families are experiencing with grocery prices. This, in spite of the fact that 3-4% inflation is well within the normal range.
Of course, with a vengeance the media is covering the decision to drop the special COVID-induced support for Obamacare. It was meant as a temporary measure, but some think the definition of temporary is “lifetime.” (more later)
Here’s what they are not covering:
The insane increases in prices for computers, laptops, electronic devices, gaming systems, and smartphones. My last computer, which wasn’t top of the line, was 65% higher in cost than the one before. Even low-end up-to-date smartphones are nearly $1,000, the upper end ones are $2,000.
Businesses are NOT upgrading to newer computers as quickly as they once did. To be “real” businesses have an overload of mostly unused devices because of COVID and people working from home. Evidence of that fact is that Microsoft has quietly extended support for Windows 10 (which was supposed to lose support last year). Businesses rebelled and began investigating alternative operating systems for their older, but still serviceable PCs. Microsoft risked losing a huge share of its income.
Not only businesses, but many individuals are writing off smart devices. Smartphones contribute to “tech neck,” and many are finding that they can get so much more done if they turn the bloodsuckers off. As a result, dumb phone sales are skyrocketing and fewer households have newer gaming systems than ever before. Common folk are irritated by wrist devices which cost $300 but can’t do “squat.” They are neither good watches nor good phones … and they break way to easily. (more later)
Indeed, the percentage of the adult population visiting UTubey and FacePlant continues to drop year over year.
Many older Americans are leaving their phones at home. They no longer use apps. In fact, many detest tech anything and will avoid it when possible. (Example: I know several older Americans who no longer order fast food where they have to touch a screen. Why should they do someone’s else’s job?) In fact, businesses should be learning that almost 30% of retired Americans have never owned a computer or smart device, and others have never installed an app in their lives. Businesses who rely on tech alone are missing out on 35-40% of potential retiree customers.
But it isn’t only the older who have walked away from tech. The younger ones also have become resistant due to cost and irritation. Speaking of irritation, my computer (I’m sure I’m not alone) insists on “updating” 2-4x per week. And when it does, it changes the settings I’ve made. It turns on all the AI settings I turned off, changes the locations of programs on my home page, sometimes changes things like screen brightness (weird). I never see any IMPROVEMENTS, though. My color palate and sound quality are not more refined. The speed or accuracy of searches only degrades. Even my smartphone is dumber than a rock. I select my preferences and within a week they are missing. I turn on the sound only to find that it has been turned off in the menu even though I haven’t been inside the menu. I no longer receive voice mail (its a newer phone). Why do we have to babysit these things? This toy is supposed to be a servant but we are forced to coddle IT. It can’t even decide how calls should be answered… should I swipe or tap? Who decided these pieces of _ _ _ _ must be irritatingly confusing? (It had to be a committee.) I can fix them … I have a hammer.
My point? Tech has become more expensive and irritating than it is worth. When the costs go out of control, people are not afraid to bow out.
Example 1: Movie Tickets. Many long-time movie goers are avoiding the sticky seats and floors and just watching the shows a few months later in the comfort of home. They can pause it when they want and avoid the bathroom lines. They avoid the high priced snacks. They avoid the parking lots and rude people talking on their phones. They dropped going to the movies at the theater because of the “cost.”
Example 2: Obamacare. AP writes: “Millions drop Obamacare health coverage after subsidies expire and costs rise.” The subsidies they mention were supposed to be until the COVID problems disappeared. They have. But when the price rose people forgot that the lower prices had been a temporary gift. They dropped coverage because of the “cost.”So, when the cost of tech goes out of control, as it is doing, people will drop it. Most won’t return. If tech companies want to maintain their customer base they will have to do better (lower cost service, or barring that … much better service). But I am betting they won’t. They haven’t learned their lesson.
Can I say I’m not like them! I was the youngest of five. My older siblings thought our parents were favoring me. Not so! In fact I was carefully observing how THEY got into trouble. I avoided those things. I wasn’t any better, I just sidestepped their stupid mistakes.
A beer company made a major mistake, and other companies didn’t learn from it. Watch and learn!!!
So, tech, watch and learn!!! Major increases in the price (or irritation) of tech will eventually lead to a major decline in demand. Your $220 noise-cancelling headphones? Fewer plan to buy them. The “dumb” smartwatches where the batteries die before the second day is over … irritating! The phones which should cost $800, and you are demanding $1,700, … you will soon be able to keep as many in the stores as you want. I’m not making up the customer disconnect … BGR reports: “5 Apple Products You Can Skip After The Price Hikes.” Hmmm!
It is happening in many areas of life, many businesses are finding they have fewer customers, fewer sales, and more inventory than they want. In a nearby city restaurants are closing at a rate of at least one per month (admittedly some are just hot dog stands). A furniture store in business for 45 years just closed. A clothier went away last fall. A nearby gas station has closed twice and probably won’t re-open.
So, tech giants, what makes you think you are not susceptible to the same market issues? Cost and irritation will bring the end quickly. People have learned they don’t have to take it. They have an option you won’t like.
Copyright 2026 Donald Whelpley
[PLEASE NOTE that Don is always open to discussing the thoughts and opinions he shares here and welcomes comments as shared in the comment section. He doesn’t use other social media platforms and won’t see whatever you’d like to share with him if you post it elsewhere.
ALSO, Don is always open to offer his thoughts on various topics. If you have a specific request, you can let him know in a comment; he reads – and replies to – them all. ~ Sherry]
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By the way, the Taliban has outlawed smartphones. I guess they no longer them them as timers for IEDs.