Loved this post, great that he wrote a rails app and nice to get the costs at the end too.
I tried to make a wi-fi kettle with a wifi module in that had a API, the prototype alone was a huge expense (£25k+) and to get it into production was around £200k (CE certified etc). In the end I just wrote up the blog post (here http://www.mobileinc.co.uk/2010/03/introducing-the-twettle-p...)
Props to anyone who makes something physical, it's dedication, passion and investment