Just to recap some of the discussion, a key fob with the exact same design, circuitry, etc. can be had for ~$40 in the aftermarket. BMW, by policy choice, will not program these, as would be required to make them functional. However, they will sell you one that they program for over $600 (which establishes that they have the ability to program them). Yes, some of the cost to BMW is labor (lookup of the VIN, verifying ownership, logging the number of fobs provided, disabling lost keys, etc.), but we're not talking highly skilled labor here, and likely minutes not hours. While I appreciate the security technology, I'm just not seeing a justification for the exorbitant cost.
A few years ago, I needed a replacement key/fob combination for my E38. Same situation - very inexpensive replacements were available in the aftermarket, but BMW would not program the ISN. It provided the same basic functions as the i3 fob. For the dealer replacement, VIN lookup, ownership verification, etc. was also necessary for it to be ordered, but the cost was only around $150 - not in the unreasonable range.
I see no material difference between the two that justifies the difference in cost. Thus, I must conclude they charge so much more for the i3 fob for no other reason than they CAN, with impunity, by foreclosing alternatives. It's anti-competitive behavior, pure and simple, detrimental to its customers, and sadly, it's not limited to their key fobs. Don't get me wrong, I love the cars, I am just having more and more disdain for their corporate ways.
BTW, as noted earlier, my local dealer recently quoted $642.58 with tax ($600.43 before tax). Online, at thebmwminipartstore.com, the exact same items (remote & pre-cut key) are currently $407.22 shipped (no tax). Does anything other than gouging by my local dealer explain that difference?