parts is only part of the equation in price. how much time and money was spend on research and development for this particular unit. having heard this dac, it is phenominal. expensive, yes. if it took years of research and development and changes over and over again to get the circuit just right, then they price it according to that. if they see it competes with units costing $30k, than why not have that price tag even though it only costs $500 in parts. all of us would do the same if we were in that position and in the business. were all mad cause we wich it could be had for $1k, but alas nothing in life is a steal.