You've completely missed the point. The problem that the author (and various other developers in the iPhone community) are complaining about is the ranking of applications in the AppStore. Getting your app into the top 100 apps list is how you make the majority of your money, how you get noticed.
The problem is, criteria for the top 100 app is purely on units sold. A $5 app needs less sales to break even, but is also a lot less likely to enter the Top 100 (as it is currently decided). The complaint the developers are putting forward is to reform this Top 100 to something more sensible (something as simple as gross revenue would address this).
As it is now, most apps get priced at $1 so that they'll even have a chance to sell.
You can argue that there other ways to market your apps, and I would agree with you, but the top 100 is the main way to attract attention from iPhone customers, since the majority of them aren't spending their time reading reviews outside of the AppStore.
I hardly think Valve is a timid animal
In any formula, constants (especially those obtained from handbooks) are to be treated as variables.