Video shows the jaw-dropping cost of laptops in 1989: Are we getting technology cheaper than ever?
expensive personal computers used to be. In the clip, experts discuss machines that cost anywhere from $5,000 to $11,000—a sum that, adjusted for inflation, would be roughly $12,000 to $26,000 today.
And what did you get for that price? A 20MB hard drive, a black-and-white display, and no internet connectivity. Compared to today’s ultra-thin, ultra-fast laptops that can cost as little as $300, the difference is staggering.
Moore’s Law: The Engine Behind Cheaper Tech
This drastic reduction in price is a textbook example of Moore’s Law, the famous prediction made by Intel co-founder Gordon Moore in 1965. He observed that the number of transistors on a microchip doubled approximately every two years, leading to exponential growth in computing power and decreasing costs.
For decades, this trend held true. Laptops, smartphones, and digital devices became faster, smaller, and dramatically cheaper. But as microprocessors near their physical limits, industry leaders are divided on whether Moore’s Law still applies. Nvidia’s CEO declared it «dead» in 2022, while Intel’s CEO insists it still holds.
The Hidden Factors Behind the Price Drop
While Moore’s Law explains part of the story, there’s more to it. A recent study by researchers Abhishek Malhotra and Tobias Schmidt highlights that mass production and technological standardization play a crucial role in making gadgets more affordable. Unlike nuclear reactors
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