Interesting point about pricing in the mobile sector right now

I know its an engadget article and its considered prefailed in the verge forums by many, but at least skim through it. (the comments under it are unbearable)

Is this what we really want? For the mobile sector to go the way PCs went last 2 decades (and its starting to get better just last two years)? The race to the bottom that kills everyone unable to subsidize to match the the cut-throat prices on the market? Where a premium priced products are frowned upon even though they are premium quality as well? :|