So, buy a Pi 2 instead of a Pi 3? Raspberry Pi 3 has less features for the same price. What am I missing?

In the default Debian environment that they offer, the core is a slug. Hardware video encoding/decoding doesn't seem to work properly. Even if you pay extra for the license. At least that was my experience. Using Kodi, on the other hand, the hardware works awesome. I wish that they release a version with a more powerful hardware, or that they fix the performance issues in the default software image that they provide. But, based on this hardware slash at the same price point, I think that indicates that they are struggling and that there may not be much more from the Pi team in the future. It's hard to compete at the super cheap level.

CraptacularOne
@ ty_ger07, the pi 2 has a slower CPU at 900Mhz vs 1.4Ghz on the 3+. And if you think the current CPU is a slug subtract 500Mhz from it like on the 2........

Hmm. Seems that bit of information was missing, huh? What was presented above is 'the same CPU" as the Pi 2, less features, and the same price.

I haven't owned a Pi 3. I own a Pi and Pi 2, and they are sluggish; especially due to software/library issues in the default Debian image that they promote.

So this thing sits somewhere inbetween a zero and a two as far as capacity? There are 50 other ARM SoC options out there in the $15-25 range that work better than a RPI 2 using Armbian. What the RPI foundation needs for focus on instead of playing around with refining the SoC is actually cutting the cost of the kit incidentals down to less than $10 for the case, power brick, micro SSD card, HDMI cable and USB OTG cable. RPI sounds great until you get nickel and dimed to death with the things the SoC has missing and not bundled with it. When they say $25, they really mean $50 working.