The question is - expensive compared to what? If you are comparing this against the Dells and Gateways of the world - sure. In fact all but a select few high end manufacturers cut corners somewhere. Generally in their case designs, power supplys, video and memory brand.
When you purchase your own stuff - you can choose which components you want to cut corners on and to which degree you want to do this. I build my machine about a year ago - then the C2Ds had just come out. I opted for the E6600 - as it was a good CPU - but not top of the line. I also chose the 7600GT video card as a compromise in order to save up for the 8800 series cards which had not been released yet.
I think you get the jist.
Some things are important now. CPU, Heatsink/Fan, Motherboard, Power supply and Case. These are things you will likely not replace.
Items such as memory and video can be significant investments and should be chosen wisely - though they can be replaced or augmented (In the case of memory) easily.
Items such as hard drives, DVD Drives, media readers and other bells and whistles can easily be added later, and are good candidates (in general) to compromise.
Shop on newegg - they have better prices. I would also suggest you go to Ibuypower.com and just play with the different configs - buy from there if you like - but the idea is to get an idea of where compromise can help the bottom line.
Last but not least - be very clear on your next posting with regards to the items you are considering. Add product links as opposed to a screenshot. Better yet add details such as the cost to the product description and link - so we do not need to keep on clicking to get everywhere to see what you are considering. We all want to be helpful - just try to make it easier for us to give you our 2-cents.
Cheers.