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The technology behind the memory cards is not what causes their high price - the PSVita's hardware is pretty expensive and on-par with iPad's which sell for much, much more (it's somewhere in-between of an iPad 3 and iPad 4 as far as I know) and as such, Sony needed a perhaptial that will let them bounce back, a piece of hardware that's practically essential for gaming on the console, yet separate not to ramp up the unit's price - a memory card. It was their "Get Out of Jail Free" card.
How did that strategy end up playing out?