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Time Warp Computer Pricing Revealed

Agg writes "OCAU has posted an article which shows just how much computer pricing has changed over the last 20 years or so. During a 24-hour period I asked OCAU readers to scan and send me an ad page from the oldest Australian computer magazine they could find. This snapshot of historical pricing is fascinating and, quite frankly, a little scary. How does $5999 for an 8.6MB hard drive strike you? For reference, 1 Australian Dollar is worth 70 to 80 US cents."

36 of 350 comments (clear)

  1. newsflash by Anonymous Coward · · Score: 5, Funny

    Hardware prices drop over time.

    1. Re:newsflash by ron_ivi · · Score: 5, Interesting

      Software too. Used to be you had to pay for an OS, or a C compiler, etc. Now $0 is a fair price.

    2. Re:newsflash by ron_ivi · · Score: 4, Insightful
      Personally, I'd rather pay/donate/whatever for these guys to make _new_ advances.

      A C compiler, relational databse, and OS are such mature technology, I don't see paying much more for them than I would a screwdriver, 2x4, or plastic bag.

      New stuff -- facial-expression-recognition-input-devices, 3D heads up displays, a computer that understands my mood -- that's what I'd be happy to pay for (open source or not).

  2. Australian Dollar? by dnahelix · · Score: 5, Insightful

    Has the Australian Dollar always been worth 70 to 80 US cents?

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    1. Re:Australian Dollar? by conufsed · · Score: 3, Informative

      Wildly inaccurate probably, but it has varied between 50-80cents over the last ten years, I know at some stage (in the 70s?) the aussie dollar was stronger for a while, which caught out a number of aussies who taken US$ loans

    2. Re:Australian Dollar? by MasterB(G)ates · · Score: 5, Informative
      --
      In the Slashdot moderating system, humourless based offenses are considered especially heinous.
    3. Re:Australian Dollar? by hazem · · Score: 4, Insightful

      It seems to me that you cannot use the poster's "1 Australian Dollar is worth 70 to 80 US cents" to make a meaningful evaluation of a harddrive costing Australian $5999 at some time in the past.

      To get a meaningful comparison, you'd either need to adjust the $5999 for inflation of the $Australian, THEN convert to dollars, OR convert the $Austrialian to $USD way back then, THEN adjust for the inflation of the $USD.

      I'm not sure if you'll get the same results. I doubt that currency conversions and inflation rates are path-independent. Otherwise, arbitrage would seem to be possible.

      Any economists out there?

    4. Re:Australian Dollar? by Anonymous Coward · · Score: 5, Informative

      The Government *wants* it to fall (good for exports), but it all depends on the economy in the rest of the world. The US economy has been in a bit of a rut lately, so they have low interest rates to stimulate the economy. Much of the rest of the world is in a similar position. On the other hand, Australia's economy has been steady, so interest rates are high by international standards. As a result, investors put their money into Australia to get better returns. This drove the dollar up.

      Once the interest rates elsewhere rise, money will flow out of Australia, driving the AUD down. So, I guess all you can hope for is US interest rate rises.

      The current position of the AUD at 70 cents is actually pretty close to its long-term stable position, but I have a gut feeling that when rate rises occur in the US, it will dip back down to the 60 cent mark (I could be wrong though).

    5. Re:Australian Dollar? by tarunthegreat2 · · Score: 5, Informative

      Oh For the love of God, get an education in economics. Currencies don't really represent the strength of your economy, they're a measure of a lot of other things (of course, if your currency is tanking by more 10%, I think it's safe to say the economy is bad). Currencies that float mostly represent trade imbalances. The middle eastern currencies are almost worth 2 US$ - hint:The world depends on the middle east for a critical resource...
      If you want your country to export more, you try and devalue your currency, if you want to reduce inflation, your currency may start rising, blah blah. Currency and economic strength are not always directly related.

    6. Re:Australian Dollar? by incast · · Score: 4, Informative

      I am an economist... a young one, but one nonetheless!

      In a perfect world, the exchange rate will adjust perfectly to inflation. However, in our world, thanks to imperfect information, inflation and exchange rates will vary in the short run. Arbitrage does exist, as humans do not have perfect knowlege of the future. We can make ex ante predictions, but we will still end up with ex post deviations from such predictions.

      SO.. if you're adventurous, try a job in currency exchange markets to make (or lose) a buck or two!

  3. reasonable by schneidafunk · · Score: 5, Insightful

    considering money is just a symbolic representation of value, it seems reasonable that 8 megs was more valuable 20 years ago and cost a lot more money.

    --
    Some people die at 25 and aren't buried until 75. -Benjamin Franklin
  4. Look at more recent stuff by metalac · · Score: 4, Interesting

    I bought a laptop about 3 years ago for around $2000 and at the time it was an average laptop. Look at what you can get for $2000 today, it's usually top of the line stuff, mine would probably cost around $1000 now. I guess the price change goes along with the time no matter what the only thing is that we are blind to the fact that some things that used to cost thousands of dollars ten years ago where top of the line back then, while now they're considered garbage. Look at these new plasma displays and stuff that sell for few thousands. I bet our grandkids will make fun of us and call us dumbasses because we spent so much money on displays that they could get (in year 2030) for about $150 each with a FARRR better quality and size.

    1. Re:Look at more recent stuff by ron_ivi · · Score: 4, Interesting
      Ray Kurzweil has made some pretty well thought through predictions that by 2030 a $1000 computer will be far more powerful than the human brain. By the end of the century, he predicts a typical computer will have more computation power than _all_ human brains put together.

      If these trends continue, we're in for a very intereseting time.

      And Ray isn't just any old crackpot. He has a good track record at not just forseeing the future, but executing well on it - he's responsible for the first omni-font optical character recognition, the first print-to-speech reading machine for the blind, the first CCD flat-bed scanner, the first text-to-speech synthesizer, the first music synthesizer capable of recreating the grand piano and other orchestral instruments, and the first commercially marketed large-vocabulary speech recognition....

    2. Re:Look at more recent stuff by JWSmythe · · Score: 4, Funny
      Judging by most of the computer "users" I've met, computers surpassed the average users mental capabilities in about 1998. :)

      Most users can be replaced by a simple shell script anyways, so that wasn't hard to prove.
      #!/bin/pseudoperl
      #
      # Replacement for average user
      # v1.0b

      use ICQ;
      use email;
      use browser;

      while (1){
      while ( period = "waking hours" ){
      $input = browse( randsite() );
      send_icq( To => randuser(),
      Message => "$input ! hahaha!");

      $input = read_mail();
      send_email (forward_message());
      );
      sleep (8 hrs);
      };
      --
      Serious? Seriousness is well above my pay grade.
  5. And yet, little seems to have changed... by jkrise · · Score: 4, Interesting

    Those days, with a 10MB Tandon hard disk on my $1,000 Personal computer, I could edit documents, use the humble telnet to log in to the Unix server priced at $2,000; I could update a bit of data on to that Ingres database using 'Forms'. To update a form on a server from a client still seems to need about $1,500; so it's not all that big of a difference.

    --
    If you keep throwing chairs, one day you'll break windows....
  6. /.'ed by Joey+Patterson · · Score: 4, Funny

    I hope that site wasn't hosted on a 128K Mac that they brought here in a flying DeLorean.

  7. How by Julian+Morrison · · Score: 5, Funny

    ...does $5999 for an 8.6MB hard drive strike you?

    As silly. I mean, why didn't they want that one more dollar?

    1. Re:How by eingram · · Score: 4, Funny

      So they could advertise, "8.6MB hard drive now LESS THAN $6,000!"

      Woo! Sign me up.

    2. Re:How by AnotherFreakboy · · Score: 4, Interesting

      Thats something I love about Australia, that I know will severely annoy me should I ever travel to the USA. In Australia the price shown on the item/menu/shelf/whatever, is the price you pay for it. If it says $5.95 on the price tag, you pay $5.95 at the register. Taxes are already added in (items which attract the GST are marked as such on the reciept), and you aren't expected to tip anyone for anything. Incidentally I never quite got tipping. To me its your employers job to pay you to serve me, not mine. If your boss doesn't want to pay you, they should set up as a self service business. I would expect the cost of providing service to be factored into the total cost, not tacked on at the end.

      --
      Why not get the real ultimate power?
  8. How silly by Turn-X+Alphonse · · Score: 4, Interesting

    We're living in an age where things no longer just run, they take leaps and bounds. We're starting to look at Terabytes of storage for the average web monkey (leech if you perfer) at a reasonable price, go back five years and it was impressive to have a HD collection going to even half that.

    Once you have got 2x2 you start to get 4x4, 6x6, 12x12 and take much bigger leaps at each step untill you're talking 100 tera HDs.

    --
    I like muppets.
  9. This makes profit margins great... by TheOtherAgentM · · Score: 3, Insightful

    Who keeps up with current prices? No your average person, that's for sure. Coming out of an era when the last computers purchased were $3000, convincing someone to pay $1200 for a Dell is not too difficult.

  10. Hard Drives by Brainix · · Score: 5, Interesting
    Every hard drive I've bought has been bigger than every previous hard drive I've bought combined. (40 MB, 200 MB, 2 GB, 4 GB, 20 GB.)

    I hope my children will be able to make similar claims.

    --
    Raj Against the Machine! http://social-butterfly.appspot.com/
  11. not *that* amazing by Anonymous Coward · · Score: 5, Insightful

    when you consider that programs were measured in hundreds of K back then.

    Also like a lot of old-timers (in my 30's), I wax nostalgic for the days when you put in the disk, turned the computer on, and used your program. No DRM, no crashes (not as often as now, anyway), no spyware, no internet or solitaire or slashdot, no mysterious slow-down in your OS over a period of months (KDE, why do you do that????).

    Then again, no powerbook, no OSX, no VMWare, no wifi or bluetooth, no Ruby (okay, well, there was Lisp and SmallTalk, that's true), no Zaurus linux workstation that fits in your pocket.

    That stuff is cool but I really miss the simplicity and reliability.

    1. Re:not *that* amazing by servognome · · Score: 4, Insightful

      Think the nostalgia has clouded your vision.
      DRM - Those 5 1/4 disks had anti-copying features. Try to copy and they made a terrible grating sound. Thats why there were programs like Copy II Plus, and Locksmith, to circumvent the copy protection (I think it was some intentionally bad sectors on the disk). Not to mention the other ghetto anti-piracy features, like code wheels, and "find the 3rd word of the second paragraph of page 6"
      Crashes - There were horrible compatibility issues. Lots of games made you select from a list of components for video and sound. Alot of times my stuff wasn't on the list (darn you Tandy!). So I'd end up with junky graphics, and/or glitchy or non-working sound. Later on sound cards (like the first sound blaster) would randomly crash your system if things weren't setup just right (IRQs, memory addresses). Then when the first dedicated video cards started coming out they were the random crasher.
      Internet - No, but there were BBS's which were as good, or bad as the internet. Chat, door games, message boards and 125k pr0n file... just start downloading and come back the next day.
      Solitaire - Solitaire has always existed. This program references one version made in 1985.

      Mysterious slow downs - No, pretty much everything was slow so didn't matter. Of course to get certain things running you'd have to mess around with the autoexec.bat and config.sys files to free up enough main memory, 640k my ass billy G!

      --
      D6 63 0D 70 89 81 BB 8E 7B 7C 5F 5D 54 EA AB 73
    2. Re:not *that* amazing by G-funk · · Score: 3, Informative

      Crashes - There were horrible compatibility issues. Lots of games made you select from a list of components for video and sound. Alot of times my stuff wasn't on the list (darn you Tandy!). So I'd end up with junky graphics, and/or glitchy or non-working sound. Later on sound cards (like the first sound blaster) would randomly crash your system if things weren't setup just right (IRQs, memory addresses). Then when the first dedicated video cards started coming out they were the random crasher.

      Hehehe... Youngsters. I believe the grandparent poster was lamenting the times before the days of irqs and hercules adapters and PC compatibles. I read his post and missed my apple //c :)

      --
      Send lawyers, guns, and money!
  12. Cost of hard drive space over time by calvrak · · Score: 5, Informative
    The Historical Notes about the Cost of Hard Drive Storage Space website has an incredible list of the cost per megabyte and then cost per gigabyte over the history of storage.

    Someone else pointed out that the price of computers never really change, but that there is more power for the same price. In 1987 our family computer (mid-range) and printer cost around $1200. Today the same amount of money will also buy a mid-range computer (at least for gaming). However, this idea is getting less and less true as computers become commoditized and "powerful enough".

  13. Radio Shack Model 16 by Stephen+Samuel · · Score: 3, Informative
    Ran Microsoft Xenix (which was later sold to (old) SCO).

    It had a 68000 and a Z-80. When running as a Unix box, the Z80 functioned as an I/O processor. When runing as a Radio Shack Model II, the 68000 was essentially idle

    The first box to land in Edmonton ran Xenix/Unix on 256KB of ram, and an 9MB hard disk. I don't remember how much the box cost but the (14" platter) Hard Disk was about $10K.

    I actually managed to get Xenix, vi and nroff running off of one 1.2MB (12") floppy disk (including a swap partition) with the second floppy disk being used for user data.

    --
    Free Software: Like love, it grows best when given away.
  14. Re:I still remember 8088 was hot by MrChuck · · Score: 5, Insightful
    1. The 8088 sucked. Z80 with better carburators.
      Segments.
      The 68000 came out soon after and would have spared us YEARS of working around stupid ickiness that Intel foisted on us (like bank switching which should have died with the Apple //.) I was delighted to move from 68000->68040 without having to redesign software. Microcontroller makers passing them off as microprocessors.
    2. 4.77MHz.
      Skipping predictive branching, caching up the kazoo and that current chips are closer to RISC than CISC classic, etc:
      Is your 2000MHz Athlon 400 times more useful than the XT? (adding in variables, and DDR it's several THOUSAND times more powerful).
    I still find that my 30MHz Sparc 2 running fvwm wasn't a ton less useful than my current FreeBSD setup.

    I *know* that my 40MHz NeXT (in the office) isn't 1/20th the speed of my 867MHz (RISC) PPC.

    The issue with really fast systems is really bad and bloated software is allowed.

  15. Not to date myself, but ... by anorlunda · · Score: 4, Insightful

    When I started in this business in 1966, RAM cost $1 per bit. That's more than 25 million to 1 times more expensive than today's RAM.

    More to the point, in those days a man-day of programmer's time was worth 2 or 3 bits of memory. Therefore one could justify several days of work to save a single byte. That economic was the cause of much of the often criticised spaghetti code from those days. Even when it was not true, the programmers believed that sharing a single line of code between more than one if-then-else clause was worth a month's pay.

    Even today, writing for clarity as opposed to writing for performance is far from being universally accepted.

  16. Not too mention by geekoid · · Score: 4, Funny

    that everybody know Australa is populate by thieves, and therefore stole the computer anyways. ;)

    --
    The Kruger Dunning explains most post on /. http://en.wikipedia.org/wiki/Dunning%E2%80%93Kruger_effect
  17. Re:Not surprising at all by mc6809e · · Score: 3, Insightful

    Is anyone surpised that hardware gets cheaper over time?

    What really is surprising is that it continues to happen. There is nothing about the universe that guarantees cheaper and better products will be produced over time. It is only human cleverness that sustains this progress. That applies to most products.

  18. ZX Spectrum/Timex upgrade by 16K+Ram+Pack · · Score: 3, Interesting
    In 1983, I bought a ZX Spectrum with 16k of memory and later upgraded to 32K. The 32K upgrade chips cost me about 25UKP (about $40).

    On that price basis, I worked out that 1GB of memory would have cost me over 1 million dollars at the time.

  19. Re:I still remember 8088 was hot by travail_jgd · · Score: 3, Interesting

    "I still find that my 30MHz Sparc 2 running fvwm wasn't a ton less useful than my current FreeBSD setup. I *know* that my 40MHz NeXT (in the office) isn't 1/20th the speed of my 867MHz (RISC) PPC. The issue with really fast systems is really bad and bloated software is allowed."

    Part of the problem is that users haven't kept up with their computers. A desktop computer's CPU is fairly idle, waiting either for the user to do something or for some kind of I/O. Eight-bit computers were able to do tolerable GUIs with WYSIWYG applications -- but having less responsiveness, no multitasking, limited task switching, and none of the flexibility of today's systems.

    Try doing something CPU intensive -- you may find that your NeXT really is a fraction of the speed of your PPC. (Just out of curiosity, I timed my computer systems a few years ago by making an MP3 with LAME (the .wav was already ripped). The systems were vastly different in terms of OS, RAM, hard drives, etc... but were representative of their generation IMHO. The reduction in encoding times was pretty much what one would expect based on MHz ratings.)

    Bloat can be a real problem. But one person's bloat is another person's feature. And with so many idle CPU cycles, it's a no-brainer to add more features.

  20. Computer Pricing? by Mordaximus · · Score: 3, Insightful

    Since when are PCs and compatibles the only computers? Back in the 80s, HOME computers were quite cheap, on par with what we'd pay today for a commodity PC today.

    In 1983, you could get a complete Commodore 64 System (Montior and floppy drive included) for ~$730 US. Basically, everything you would need (word processing, games etc...)

    20 years later, you'd be getting a very good deal to get a modern system for that price. Sure the technology is much more advanced today, but in the end you get the same amount done, for the same price.

    Of course, let's not talk about modem prices ;)

  21. What's scary is... by michaelmalak · · Score: 3, Funny
    This snapshot of historical pricing is fascinating and, quite frankly, a little scary. How does $5999 for an 8.6MB hard drive strike you?
    No, what's scary (to me) is that some slashdot readers don't remember this first-hand.
  22. RE: bad/bloated software by King_TJ · · Score: 3, Interesting

    Eh.... Sometimes I'm tempted to make a similar statement, that "Today's PCs really aren't THAT much more useful than the ones I used 10 or 12 years ago!"

    But then I think about the tasks people do with modern computers, and I realize that statement is short-sighted.

    Yes, you can argue the old favorite, that "I could type a letter just as well on my old XXX system as on today's Pentium 4 3.0Ghz PC!", or "Spreadsheets worked just fine for me using Visicalc."

    The value of faster machines becomes immediately apparent when you start talking about such things as editing DV video from a camcorder, or printing out photo quality prints after downloading from from your multi megapixel digital camera and editing them, or encoding your music CDs into MP3 format. Heck - try just *listening* to MP3s in the background while you work using anything older than a Pentium class PC. The older systems tie up their entire CPU just processing the music file.

    Anyone developing software can surely tell you that compiling times are drastically reduced on modern PCs, as well. No more "Running off to eat dinner while my program compiles." And how about people composing music on their computer? Sure, the old machines handled MIDI data fairly well - but virtual instruments? That was just a fantasy before modern systems made it possible.

    Gaming is always debatable, because it's subjective. One person can rave about how many thousands of times better new games are with near photo-realistic graphics and 3 dimensional surround sound, while another scoffs at that, and says they preferred the "block graphics" type games of the Atari 2600 game system era. But surely, it's clear that gaming has accomplished things that just weren't possible on older hardware. Network gameplay is vastly superior, for example. (I can remember trying to play the first 2-player modem-based games. You had to wait for the game to "synch up" with the other player before you could start, and then it often lost synch in the middle of playing, due to phone line noise or whatnot.)

    You wouldn't even have things like usable broadband internet access if the world was still using 4.77Mhz XT class machines. It takes more CPU power than that to handle things like PPPoE protocol for DSL!