And surely an app can keep working with minimal updates, I don't see that as a huge expense for Hue.
Cost to build, around $7. Retail price, over $30. Profit for the company, around $3.
Distributors and retailers took the remaining.
Selling stuff in physical stores is a nasty business. I remember these numbers whenever I see people complain about app stores taking a 30% cut.
And surely an app can keep working with minimal updates, I don't see that as a huge expense for Hue.