To understand why a company like this exists, and why it hasn't put other companies out of business, one must just look at basic economics. Supply and demand. To make knives like these, he has himself and like 2 other people working by hand, controling CNC lathes, water jet cutters, etc. in tiny batches. And then ALL of the final assembly, finish work and blade polishing/sharpening is done competely by hand. You can't make 1000s of knives in that manner, and expect to retain the astounding tolerances and quality control that comes out of his tiny shop. To put "all the other knife companies out of business", he would have to be making these knives, at this quality, by the 10s of thousands per year. I have 3 Rocksteads now. The two aforementioned Higos are numbers 111 and 112, and my recently acquired Shin (used), is number TWELVE. As it stands he probably puts out maybe 1000 knives in a year, total for all models, for the entire world's market. Its been stated that less than 30 of each model make it to the US. Consider that for a moment....THAT's why they are $900 to $2000 new, for a "factory custom".
Now, those prices are nowhere near what you can pay for a knife, but understand that other than with certain custom makers who either forge their own steels by hand and/or have a huge wait list because of the demand, or are just not sold directly to the public (which slowly drives up the secondary market's prices, ala Hinderer), generally knives priced higher than that are cosmetically more amazing. They have engravings, bone inlays, wire inlays, jeweling all over, sometimes even actual jewels etc, ...they are ornate...those knives are more expensive in the value of the materials, and the time taken to produce that kind of work, but those materials only lend AESTHETIC value to a knife. They do not generally add to function. In contrast, Rocksteads are understated, and even the more ornate ones are subdued in nature. Most of the quality you get in a Rockstead is the: 1) quality of the steel (lets face it. the Japanese have been making the finest blade steels, forever), and 2) the feel of knife in hand (better than any knife I've ever held), and 3) while maintaining subtly tasteful and tactical features that translate into these knives being amazing users, something you wont really want to do with a $5000 damascus custom.
Hope that helps.b