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Derek's statement on luxury items pretty much covers the issue. Solid titanium watches are relatively rare (Omega is only one of a small handful of companies that offer Ti watches) and the differentiation was worth every penny to me. While gold may have a very high intrinsic cash value, Titanium is one of the most bombproof materials in thw world, and it has a very high "neener" factor to boot. ( I have a solid Ti SeMP, and most of you out there don't! Neener, neener, neener...)
As far as machining, just because you have a CNC machine set up to make SS cases like cookies doesn't mean you can put in a block of titanium and have it work. Titanium is a real "pain in the gray market watch dealer" to machine, and you have to completely reset the program and tooling to make Ti watch bodies. Ti is a stringy, abrasive metal, and a real fire hazard after it's been ground into dust.
As far as recycling gold, it is an everyday practice, and there are companies that accept gold scraps in any purity in every major city. My wife is a dentist, and I have accompanied her to the local recycler to cash in her broken and out of spec crowns. If they accept the gold that was in Uncle Louie's head for 30 years, they are NOT going to refuse Omega case scraps because they have some oil on them.
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