Earlier quoted context omitted.
That is pretty much the ARM and POWER problem too, they think they can grow in new markets with these hugely expensive machines in quantities of ten racks. Both would have significantly more traction if they offered a reasonable desktop class machine, but they don't seem to be able to do it. For some reason there are dozens of RPi type devices but making a $200-$300 device with a reasonable set of expansion ports (sa…
Sadly, I suspect all the small developers combined are smaller than one hyperscale customer.
So, a company may only be making a dollar on each machine sold, but is gaining thousands of hours of beta testing, or actual engineering in return.
I should add though, that this months basement hacker is next years businessman buying in lots of 5k to fulfill some small niche market. Do that enough times and eventually the next netflix/facebook app just happens to be running on your hardware.