This is what they did when I was buying iPad Air - it starts with actually problematically low 64GB of Storage... and the 256GB model is the next one with massive price jump.
It's the same kind of "anchoring" (marketing term) that car dealers use to lure you into deciding for their car based on the cheapest 29.999$ model which with "useful" equipment will end you costing like 45.000$
Not to mention that occasionally is nice to have a set of downloaded media available for vacation/travel and 64GB isn't enough to download week worth of content from Netflix.
This is why this is so annoying - you're right, I don't need 512GB or 256GB. But I'd still like to have more than "You're out of space!!" amount.
Games. You can put maybe three or four significant games on an iPad Air before it maxes out. (MTG Arena is almost 20GB all on it's own, Genshin Impact is like 40+ GB)
This is actually most of the storage space -- videos downloaded for consumption in places with no or bad internet.
[1]: https://liliputing.com/you-can-use-a-floppy-disk-drive-with-...
I mean, what would happen if you yanked out the drive while an app was running on it?
I could fit more if I didn’t insist on downloading everything 1080p I guess.
In my sphere, everyone with an iPad uses it for the Apple Pencil and/or video editing. Raw files for drawings get surprisingly big, once you get up into the many tens of layers, considering an artist can draw a few a day.