Erm... I wouldn't be able to manage with 128gb which is why I have a 512gb model, as that fits my personal use case (I need around 200GB working space, 1TB would be great but I would never like to trust having that much data in a single place). However if I was back working full-time rather than freelance, it would absolutely be enough. I would only need AI/PS/ID which doesn't take up much space, the company didn't pay me to do anything else. All files are stored on a central server so that other people can work on them or take over. Nothing is stored locally due to NDA and copyright issues. We had a number of small HDD Macs which project managers would use to run conferencing software or for producing the live shows, they did not need 1TB of disk space to run Keynote and have a live-feed of cameras. But they did require a Mac, and they did want something portable, that wouldn't fail, and had more than an hours battery life. Our video editors worked entirely from external drives (Which shouldn't really come as a surprise given the massive file sizes, they had a 60TB array all to themselves).
Either way being upset at the cost is just irrelevant. I use my computer as a professional device, the hardware costs are minimal compared to the value of the data. I need something that is reliable and not going to cost me thousands in lost revenue if something goes wrong. So I really don't care if the computer is $1500, or $1700 or whatever (Within reason of course).
Again my point is, 128GB is ample for a lot of uses, and it is good that Apple offer a cheaper package for those who don't need a computer as a portable working rig but more of an access point. Companies buy hundreds of these and it will please them to not have to pay extra for something they wouldn't make use of. There's also plenty of other uses where this is enough. Unless you have it for personal reasons, don't make money from it, just 'want' it, or would like it for hobby reasons, it really shouldn't be an issue.
