Earlier quoted context omitted.
I’ve re-read your last paragraph a few times but I’m still confused (tho intrigued). Fancy re-wording it?
I think they mean the NIH grant reviewer dismissed the grant request on the basis that the technology was too expensive - ignoring that the research was intended to catalyze mass production which would have made the technology economical. Thus missing the point of the grant proposal.
If 10.000 units of a customized simple version are ordered, the cost is 500 USD, give or take a few hundred dollars. This was not my estimate, this was the quote given by a company.