Compare the manufacture of a conventional water heater with the HE:
Conventional: http://www.youtube.c...tch?v=1ofSyXUW0TY
HE: http://www.youtube.c...tch?v=6nLuRvM1iMc
A.O. Smith will probably have to have competition from LG or Samsung to be forced to reduce the price. :-(
Cheers,
Scott.