The lower the price goes, the lower the absolute margin will be, yet the higher the rate of adoption will become. Simply put, in a time of squeezed budgets, if the government knows that the cost of subsidy is lower, they may not be so shy to subsidize, yet when the cost of subsidy is high, they often take a "what's the point" attitude.
With lower costs, it means that the business models all must sharpen up and be efficient. Learning from older infrastructure industries is what a smart company would do...imho...
Hope this helps,
Sass
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