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Need to add in the cost of the mouse and keyboard that came with the iMac, but I agree. Some will argue even with this addition, the price is essentially the same. Additionally, not sure of your reasoning, but wouldn’t the $599 Mac Mini work as well?

You're right on both counts, I wrote $799 because most people will want to upgrade from either 256GB to 512GB storage or from 8GB RAM to 16GB ... after all these years the same base storage/RAM as the 27" iMac is a bit ridiculous.
 
The Studio Display is essentially a repackaging of the 5K iMac display, which was introduced in 2014 and updated in 2015. Other than a slight brightness boost, the specs are basically unchanged. So it's valid to say that the Apple Studio Display, while recent in release, is effectively the tail-end of eight-year-old technology. Other displays from other vendors have moved beyond it, and the gap will only widen.

There was also much speculation that the ASD was intended to be the 27" Apple Silicon iMac. It is after all a full computer in there. Apple may have used the ASD as a research project - or perhaps changed course late in production - not really intending it to be the end-all for their display lineup. If the ASD was supposed to be an iMac, it would make sense that they could have also had a different display (dedicated display) in development at the same time.
True except there's nothing in the market that's better at this price point after 8 years. LG 5K display is cheaper but has worse IQ. I can't and won't use a 4K display after using a 5K for 6 years.
 
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True except there's nothing in the market that's better at this price point after 8 years.

Beyond the Apple Studio Display, other vendors have better brightness, better contrast, local dimming, HDR, higher refresh rates, more size options (including ultrawides, and including curved options), adjustable stands by default, more than just one input, inputs of different types, Thunderbolt daisy-chain capability, better cameras, smaller bezels, native VESA mounts, detachable power cables, controls that work with other operating systems, etc, etc.

5K displays are an Apple-focused niche. And I'm not saying the ASD isn't good or it isn't worth its price. But while it excels at being well-rounded and has a great calibration out of the box, it really doesn't top the charts in too much else. It's OK for us to be happy with it, and hopeful for its replacement, both at the same time.
 
It's OK for us to be happy with it, and hopeful for its replacement, both at the same time.
This.

Love my ASDs but I hope there are alternative 5K options, Dell's 6K is better than I fear it will be, XDR gets new life and Apple creates a display in-between ASD and XDR that is Promotion mini-LED. I'll upgrade if it makes any sense at all. If not, I'll continue to enjoy the ASDs.
 
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