That's the price of a device that isn't subsidized by your data, is built using sustainable means, and is not yet scaled up for mass market.
A modern smartphone is a tremendous device. In convergent mode many people would not need a laptop or desktop. With replaceable parts and upgradeable open source software it could last a decade. Further, what exactly is a sane digital society without embedded surveillance worth in dollars?
There is no reason why such phones shouldnt have a mass market and more approachable prices. The status quo is a market failure, not a law of nature.