I wonder whether earlier pricing ($49) was chosen to only have serious users before opening up the app to everyone. Perhaps an effective method to recruit beta testers who care.
I think Wolfram and the folks at WRI were just off their rockers when they made that price hoping that they could get some sales at that price and then depending on the reception go from there.
That or Wolfram was kidding himself into believing that people considered a WolframAlpha app was that much of a value to them rather than using the site in Safari.
Since everyone balked they just reacted.