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A 480p LCD honestly might be more expensive than a 720p LCD for Nintendo (and maybe even a 1080p display in a couple of years).
Better does not mean more expensive, there likely are very few vendors these days mass producing SD resolution displays, as such Nintendo might actually have to pay more. So they might actually have to pay more to get a display of such low resolution, lol.
I believe MS had a similar problem with regard the original XBox ... 8GB HDDs actually became more expensive than larger capacity HDDs, because no one was making 8GB HDDs anymore, but MS was stuck with 8GB because they wanted to keep the standard spec (either that or I think they may have made a bad deal with a product vendor ensuring the same part for the life time of the XBox).
So it was actually costing them more to put a smaller 8GB HDD into the XBox than a 16GB or 32GB one would've as that generation went on, lol. Not surprisingly the XBox 360 had a removable HDD that could be upgraded.
