Thanks to Techmeme, I came across an Venture Beat article that illustrates some of the points in my earlier post.
The $9.99 iPhone app is exactly these price points at work. The price isn’t too much to discourage buyers but equally allows the developer to turn a profit from the application.
It’s interesting how the price points settled so quickly in the App Store and how a similar thing happened with the 99c price point in iTunes.
Paul Wallbank is a speaker and writer charting how technology is changing society and business. Paul has three regular technology advice radio programs on ABC, a weekly column on the smartcompany.com.au website and has published six computer books.
Since 1995 Paul has setup and run four business including PC Rescue which he grew to be a national IT support business. Paul currently works with government and businesses to help them navigate the challenges and opportunities of the new digital economy. 
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