Your economic world view is many years out of date.
I happen to be retired and 68. But I'm retired from 30+ years in the world of Computing. Yes, from long before there was an Internet . The ARPAnet was just coming in to existence, but that was for Main-frames only, the PC hadn't been invented yet. (The Intel 4004 - a 4 bit cpu was introduced in 1971.)
Begin Eco101 lecture:
I have friends and family, both older and younger who have no clue what is involved in anything digital. Their world-view is dictated by the Nightly Network News.
All they know and understand is something made with their own hands. They have no idea what is involved in creating or running a business.
Even the Doctors and Lawyers in that group equate everything to how much THEY paid to get an education; and the expectation they have had drummed into their heads that they are the top of the heap and everybody below them is worth less!
... It takes a machinist 4 hours to make a widget, at $20 per hour, so therefore it should sell for no more than $85, or if they are being generous $90.
They totally ignore the hundred thousand dollar cost of the "machine" that machinist is using to create the widget; the cost of power to run the machine; the cost of the raw material for the Widget.
In short they have a very "short-sighted" view of economics and the "costs of Sales" as it is called in accounting.
People always think that because it's Digital, it doesn't cost anything. They ignore the fact that instead of $40 per hour for a machinist, you have to pay $80 per hour for the Digital Developer. Yes, the salary numbers are AT LEAST that far apart. That's why all of the "macro-economists" are constantly decrying the demise of the Middle-Class.
And yes, that Digital Developer is working on a Machine that costs SEVERAL hundred thousand dollars... it's not the cheap Dell you can buy at Best Buy. Then add in the cost of the software used to do the work -- do they use RenderMan from Pixar? ... big bucks per seat to license that. You don't develop "professional grade" software on "Free Software. The concept of "Free Software" means "Free as in Speech," not "Free as in Beer." Open Source is different yet. Somebody has to support that software. Either in-house or under contract. Underneath it all SOMEBODY is buying the Beer and Pizza.
And lest I forget -- how much does your 20Mb Internet connection cost? And you complain that is SLOW. How fast a connection, or as we say, how big a pipe, is necessary to support 10 end-users at 20Mbps -- 200Mbps, easy math. 100 users therefore needs 100x20 or a 2,000Mbps connection. 1,000 users? 10,000 users? You get the idea.
The cost of manufacture of an item is only a small portion of its price.
End of Eco101 lecture.