Somewhat different situation since Apple was selling the original iPhone at an unsubsidized price but ATT was still requiring a contract. At the time unsubsidized phones were almost unheard of so $600 sounded outrages (though I stood in line).
Apple has never raced to the bottom and they are not about to start near the bottom on what they see as a high fashion play. It will be $350 starting price for the Sport and the SS will be significantly higher, even with the least expensive fluoroelastomer band.
Anyone who thinks that a 316L Stainless Steel with Sapphire, ceramic back and with a
"...Link Bracelet has more than 100 components. The machining process is so precise, it takes nearly nine hours to cut the links for a single band. In part thats because they arent simply a uniform size, but subtly increase in width as they approach the case. Once assembled, the links are brushed by hand to ensure that the texture follows the contours of the design. The custom butterfly closure folds neatly within the bracelet. And several links feature a simple release button, so you can add and remove links without any special tools...."
or a
"...MODERN BUCKLE
A small French tannery established in 1803 produces the supple Granada leather for this elegant band. The smooth top-grain leather is lightly milled and tumbled to maintain its refined texture. What looks like a solid buckle is actually a two-piece magnetic closure thats delightfully simple to secure. We also added an inner layer of Vectran weave for strength and stretch resistance. Its the same material NASA used to make the landing airbags for the Mars Rover spacecraft..."
will cost less than a much cheeper to produce aluminum/glass/fluoroelastomer Sport is delusional. I foresee those bands costing nearly as much as the Sport
Watch.