You obviously don't know much about business or even what you are talking about, AND you are exaggerating just to make Apple seem even more evil. First you complain that APPLE is the bad guy. It's all about APPLE, APPLE had to have had some say in the price and required data plan (that, you know, AT&T has had for years for all other smartphones....) Later when people give you enough evidence, you back off and say "oh, I *MEANT* AT&T for that..." Riiiight. And I like how you bring up the price of unlimited texts saying you have to pay $100 a month for service, though it's only $5 for the same amount of texts AT&T's old iPhone discount program got you.
And as was mentioned, Apple sells their products as luxury items. That's in fact one thing that keeps Apple's products as popular and hyped as they are - if they had released the original iPhone for $99, it would have been seen as a cheapo device and not gotten NEARLY as much hype, nor have been as popular. Everyone wanted one *because* they couldn't afford it, and it was seen as top of the line. And really, their devices do cost a lot of money to design and manufacture - that original iPod was the first true portable hard-drive MP3 player, it had a lot of specialized hardware. The iPhone was the same way, it was marketed as a deluxe, top of the line luxury device. And now that the iPhone has been seen as a deluxe luxury product and purchased by the majority of the people who can afford it, Apple can lower the price and allow provider subsidies, letting the rest of the people get it. If it had been $200 to $300 from day one, it wouldn't have gotten anywhere near the hype, and probably wouldn't have sold as many.
Oh, and I love how you compare an EXTREMELY SMALL electronic device with 8GB flash drive, 10 internal radios, accelerometer, and high resolution, high quality dual-touch touchscreen (first of its kind in a consumer product), to a large bulky hard drive. And complain that the hard drive is cheaper and holds more data
Sorry, but you just come off as whining about having to pay more money due to not getting the special iPhone AT&T discount anymore, and having to pay what everyone else does.