They restrict the performance of their products and sell them for cheaper than the top-of-the-line stuff. Sometimes they can be overclocked to get better performance but not to the extent that they are capable of. This is nothing new, I'm pretty sure most computer hardware components work like this, such as hard drives, video cards, processors, etc. Its cheaper than creating entirely different product lines for every price range. Most industries do this in one way or another, either by throttling the actual capability of their product, or by putting lower performing parts that cost basically the same, or even more, into the lower models. Think about trial software or basic Windows operating systems compared to full software and Windows Ultimate. Do you really think it costs hundreds or even thousands of dollars more to give you the absolute top of the line software on your little 25 cent DVD? It is structured so that the users that get the most performance out of a product pay the bulk of the R&D and overhead costs that went into making it. I'm not sure how somebody that to me always seemed like a right-wing free-market-rules-all personality could HATE this. I would imagine this sort of thing to be embraced.