I think you're mistaken on artwork. Web sites, marketing, app store, etc. all need artwork. Shipping, middleman, vendor cuts amounted to ~50% of the retail price. But, consider Apple updates their OS every year requiring more updates, there are much more features in software today, making it much more complex means you have to pay more people to product a product than you did back in the 90s. Add into that the cost of living increased since then too means you have to pay people more to produce a product. This offsets the savings from physical boxes and much more.
All i know is my favorite drawing & photo apps for my ipad pro were pay once and done. Updates have been free. Love it.
There are so many other things we need to pay monthly for. It gets to the point where the avg person has to draw the line. I mean to have 100 diff things you pay monthly for can get a little out of control.