In the world of $99 20" monitors, I've never understood why 7" photo frames cost $150. There's about $5 in extra electronics in there, maybe less when you factor out what an LCD monitor has that the photo frame doesn't, and all the smaller materials.
At least with THIS one, there's some additional functionality to help justify the cost. And the ability to just print out a photo... "Here mom - have one to keep!" is a pretty cool feature. #sonydppf700