Fast-forward about seven years, and my company was looking at an interpreted BASIC implementation that took about 120K. Since this was supposed to live in ROM, you could think about it as Real Money. We dug into it and found all kinds of fat -- the usual 13 fear-based reimplementations of strlen and strcpy, about a zillion porting layers, endless amounts of cut-and-paste nonsense.
Somewhere between 1978 and 1985, the software industry's drive to be lean and mean on PCs died. I found myself writing 'sed' scripts to do peephole optimization on the intermediate assembly language of one of the C compilers we were using. It was pathetic.
Now, of course, I light my cigars with gigabytes. But in terms of actual cost, I'm still a cheap bastard and I probably don't spend any more money per year on CPUs, memory or storage than I did 30 years ago.
Had a chance last year to write a mission-critical hunk of code that /had/ to fit into 1920 bytes. I can't tell you how much fun that was.