When I was regularly traveling to the Bay Area for work my typical accommodations were like $180. However, when I was paying for it from my own pocket and had less money, there were some spots on El Camino Real in Santa Clara that were $59 or $69, run down a bit, but clean. And pretty good donuts for breakfast.
So I think for the typical work traveler this will feel like a discount, but I agree it’s not a great deal. Of course, my experience is 5-10 years old, so…