It's a fad, plain and simple. If you quilt and go to meetings, someone there is going to have one, and it becomes a status thing, and you just have not "arrived" with your quilting group until you have your own FW. However this "fad" has been going on for many, many years and probably won't end any time soon - though the prices of FW's have come down substantially from the high several years ago.
And the newest thing is to get one repainted in your favorite color.
Also keep in mind - there are a lot of quilt shops out there selling fabric at $10- $15 a yard, and there are plenty of quilters out there that don't blink an eye at those prices. Seriously - paying $200- $300 for a nice, no plastic, easily portable sewing machine is not a bad deal.