I think it would have made a stronger statement if it were $49. Be as good as the Apple TV at a price closer to Chromecast.
Yep with a $49 they could have taken the market by storm. At $99 it could be tough for them to gain traction without a huge developer community for games etc.
That said, they do have an impressive range of titles, though it might have been a good chance for them to launch a cloud storage program for people's existing media.
Bottom line: if you don't have a big ecosystem and fanbase, you need to run at a loss for a bit to get one (see windows phone)