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M1 is a powerful chip and it will last for years. Purchasing last edition of an apple product isn't always a bad decision.
I got the 2017 iPad Pro 10.5 in 2018, the price difference with 2018 pro model then was almost double.
In case of m1 air, I don't know the price in other countries, but where I am from, M1 price actually increased on account of inflation and maybe chip shortage? So getting a 2 year old product for more than its launch price didn't make any sort of sense to me unlike the iPad 2017 model. So I went with the M2 and I'm happy with my decision.
And most of the controversy is overblown by YouTubers. Some of it maybe factually correct, but for all purposes u may not see any effect on day to day use.
And in my experience buying base model of Apple products is often a foolish decision. It works excellent for a few years, but a couple of major software updates over the years, the device slows down! So this time I got the 16/512 instead of my usual base model purchase.
And finally of course apple milks the customers to the last dollar! They even avoided including a charger with iPhone in past! and M1 air costs more than its launch price in some countries, 2 years after its launch. It's one of the reason why it's a gazillion dollar company now. I have accepted that as a fact, and I don't expect apple to change that policy in near future as long as it can command the premium.
 
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