Why did Steve decide to eliminate superior products like MobileMe and iWeb and not just raise the price?

I've been looking into moving 3 web sites that I easily created using iWeb and Mobile me and it is unbarably difficult to use what non Apple users have to put up with.   I was so happy that I could throw a site together for someone and it would just work.   Now I'm looking at 5 times the cost and 1/5th the quality.    Why didn't Apple just raise the price if it was unprofitable?     MobileMe and iWeb are a GREAT service to Apple customers.    I feel this discontinuation is very unfortunate for many.

Actually, the discontinuation of MobileMe is an opportunity to move on to more professional website hosting and management.  MMe is just too social networking oriented and lacking in serious webstite hosting capability.
Now I'm looking at 5 times the cost and 1/5th the quality
You've got to be kidding!  Web hosting that has more hosting features that MMe had is readily available for as little as $3.95/mo. That's only $48/year - aboiut 1/2 of what MMe costs.  Included are a domain name, unlimited storage and transfer, subdomains, multiple email addresses, advanced security features and, something MobileMe never had, 24/7 actual ear-to-ear customer support! What a novel idea.  Actually quickly contacting and talking to a real person to get help on a problem.
I moved about 30 websites from MMe to my new host in about an hour once the new server was setup. This describes how I did it: iW13 - Easily Transfer Website Folders From MobileMe to a 3rd Party Server.
This tutorial explains how I host multiple sites with just one domain name: iW16 - Using HostExcellence.com with iWeb. The same can be done with subdomains but the folder method I used was easer in my opinion.
Depending on your website's design and intented use iWeb an still be a viable web builder.  However, for more complex websites and connecting with mobile users one will have to begin using other applications.  Read the following:
On June 30, 2012 MobileMe will be shutdown. HOWEVER, iWeb will still continue to work but without the following:
Features No Longer Available Once MobileMe is Discontinued:
◼ Password protection
◼ Blog and photo comments
◼ Blog search
◼ Hit counter
◼ MobileMe Gallery
All of these features can be replaced with 3rd party options.
I found that if I published my site to a folder on my hard drive and then uploaded with a 3rd party FTP client subscriptions to slideshows and the RSS feed were broken.  If I published directly from iWeb to the FPT server those two features continued to work correctly.
There's another problem and that's with iWeb's popup slideshows.  Once the MMe servers are no longer online the popup slideshow buttons will not display their images.
Click to view full size
However, Roddy McKay and I have figured out a way to modify existing sites with those slideshows and iWeb itself so that those images will display as expected once MobileMe servers are gone.  How to is described in this tutorial: #26 - How to Modify iWeb So Popup Slideshows Will Work After MobileMe is Discontinued.
You can move you 3 websites to a new host in no time and save money doing it.
OT

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    For what it's worth, you posted this in 2011, and here in 2014 I am still having this same issue. Over the last two days, I have had to unlock my apple account 8 times. I didn't get any new devices. I haven't initiated a password reset. I didn't forget my password. I set up two factor authentication and have been able to do the unlocking with the key and using a code sent to one of my devices. 
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    Rather than insult other users or the names they chose, you might want to re-read my post in which I said that this is a user to user forum. Apple does not comment here. We are not here to do business. We are here to offer technical support, and your question was not one requiring tech support. We simply are not allowed to discuss Apple decisions here.

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