Of course the $3500 have better tech than the $399 thing.

We still have to see what sellable product Apple will throw at us.

Actually I’m pretty confident that Apple may be onto something and that it’s maybe the "next big thing". But they’ll need to cut the price by at least half if not more if they want to bootstrap the market enough to make it the next iPhone.

Of course they could just market it like a high end spatial monitor but I don’t believe they’ll do : they need mass adoption if they want developers to create applications to sell on the App Store.