If X consists of two complementary components, A and B, then if the price for either A or B goes down, then the total price for X goes down, demand for X goes up. Which means demand for A and B went up.
Even if the price of only one of A or B went down.
So if the price of A goes down, demand for B goes up.
If software prices go down, then demand for the hardware to run that software on goes up.
It’s a reframing of vertical integration, which does lead to lower prices or higher value assuming reasonable competition. You can also think of it as disintermediation (“cutting out the middleman”).
I mean theoretically that makes sense? If you get more value for something it increases the chance of buying it? But I also have no idea if this statement is true.
Is this something you just made up, or does this really happen? Colour me sceptical.