I'm quite probably overlooking something and I'd be curious to learn what.
What makes this hardware not great is the many developers who have fast machines who are ok using a lot of it with the software they develop. This makes the experience on older systems slow. It's unplanned obsolescence.
For chrome stuff and using the web I shouldn't need a killer system. No one should.
I’m pretty sure this set of people can’t afford 50$ for Mighty either.
On the other hand, I don't really run Chrome or Firefox on anything that operates on battery, because I don't like seeing the little battery icon deplete twice as fast, and it barely even matters how powerful the machine is (M1 helps, but there's still a noticeable difference). Maybe there are people who really, really want to run Chrome all the time, but also work mostly on portables and like them actually lasting as long on battery as they're supposed to. Maybe that's worth $50/m to them.
Plenty of people who can’t afford a fast computer currently have access to a fast internet connection. The ability to substitute internet bandwidth for CPU and RAM will be very valuable for them.