$1 a piece is the price you get in the US, and as an individual trying to buy Cherry MX switches from a company that already bought them for a lower price.
In china things are different, and when you are a company and buying in bulk, the price can go to as low as $0.2 for a switch.
This keyboard is ridiculously overpriced. I am against this because it clearly shows the guy just wants to exploit this "kickstarter" mindset and HN entrepreneurship culture of "price high" and people will think it's revolutionary.
This reminds me of the beats by Dre headphones.