That and Apple puts an NVMe SSD iirc and not eMMC. Even the Lenovo flex 14 with Ryzen 5 3500u I have has 12GB RAM and 256GB NVMe storage. It was US $450 on Amazon for Black Friday. I doubt Lenovo/Amazon sold it for a loss. Microsoft definitely could hit $400 price point with a surface Go that was worth buying if it wanted to...
From the article
> It’s also worth noting what you actually get if you buy the $399 model. For starters, there’s no keyboard. And the keyboard is really the thing here. After all, that sort of convertibility is a huge part of the motivation for buying a Surface in the first place. Along with the full Windows 10 experience, you’ll want the sort of productivity that requires a keyboard. That will run you $99-$129.
> A harder pill to swallow is the processor upgrade. Similar to the MacBook Air I just reviewed, the real top-line component refresh mentioned in the press material requires a not inconsequential premium. Microsoft heavily advertised the addition of the eighth-gen Intel core line, which was heralded as helping transform the Go into a proper laptop. The base level, however sports the Intel Pentium 4425Y, chip, far more in line with the original’s 4415Y — one of the bigger issues reviewers had with the first Go.
Now the R5 3500u isn't a desktop class processor by any means but I am pretty sure it is better than a Pentium.
https://www.cpu-monkey.com/en/compare_cpu-intel_pentium_gold...
Once again, I believe it is possible to hit $400 with respectable specifications. You just have to be willing to make a smaller/no profit.