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Technology products usually depreciate rapidly because of the amortization plans decided for the investments made.

When a company wants to develop and market a new product, it has to prepare a business plan which must include all of the costs for the research, development, marketing and support of the product.

Then the company has to decide in how much time it wants to re-enter of the costs and start making revenue.

When all the initial investments have been covered, the company can lower the margins initially applied to the product, thus lowering the product final price.

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