There is a large degree of coupling between avionics hardware and software amd updating that software is prohibitively expensive. There's just no point in doing it unless you get a tangible benefit.
Furthermore, avionics systems take a long time to develop are not often rebuilt from scratch, so the hardware naturally lags far behind the computing power we're used to.
The recycling of avionics systems is definitely fueled by a desire to reduce costs. However, it's also important to note that older, mature systems with a history of service inherently offer a degree of safety compared to something which is untested.
The issue this article complains about can easily be seen as a safety feature.
To be fair, the author does spend most of the article talking about missing features and design issues rather than harping on "processing power". It is a poor title.