We're already there. A Samsung Galaxy Nexus (Not the newest one) is still around $600 new. Here's the kicker. I just repaired mine. I had to replace the USB port so I could charge it. Verizon wanted to charge me my soul in blood to repair it. I bought the parts and tools and did it myself for $10.
Where do they get off charging $600 for a two year old Samsung Galaxy Nexus when the most expensive part in the entire phone is the motherboard at $100?