Yes, quite true, the iPaq is around $459 at Costco (when they have stock). But price is not always the best reason to buy a widget. After all, the cheapest e-machine can get you online. But many Anandtech readers spend WAY more than the minimum to get performance that's much higher than average. I see no reason to change strategies when it comes to a handheld.
The value gains are SO substantial due to readability of the iPaq's unique screen, I was in and out of the market within minutes. There is no competitor and won't be until someone else comes up with a screen that bright. The difference in usability, especially for males (who have MUCH higher incidence of color vision problems than females) is as big a difference as between monochrome TV and color.