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Want a next-gen console? Start saving!

2 min read


I’ve got a tin in my bachelor pad (Ladies…), that I’ve been shoving silver coins into. It’s pretty much my next-gen savings fund, and I’m hoping to see that fund GROOOOW throughout the year! Make no mistake, the next-gen consoles from Sony and Microsoft are going to cost several very pretty pennies. And according to one analyst, quite a few Randelas as well.

Baird Equity research group has come up with the figures of around $400 for a proposed Playstation 4 and Next-Box 720, according to Game Industry. Using research collated from findings at CES this year, the firm is also guesstimating that we’ll hear of both next-gen devices before E3 as well.

“Given the fragile state of the console game market, we expect the E3 trade show in June will take on added significance, most likely providing the industry with the first public opportunity to examine next-generation hardware,” Baird employee Colin Sebastian said in a research note.

“Our checks suggest that next-generation console hardware will be largely built from ‘off the shelf’ high-end PC components, along with hybrid physical/digital distribution models, enhanced voice controls and motion sensing (Kinect integration with every Xbox), and broad multi-media capabilities.”

“Moreover, a PC-based architecture (Intel chips in the case of Xbox) should have a number of advantages over custom-developed silicon: for one, the learning curve for software developers will be shorter than completely new technology. Second, the cost of production and retail price points should be lower than prior console launches,” he continued.

“Third, it will be easier to build online services around PC chip architecture, including flexible business models (free-to-play, subscriptions) and multi-media (over the top) content offerings. For Microsoft, this design will also allow for more integration with Windows 8 and Windows Mobile devices.”

So how does such a price affect us? Well before you rush for your pitchforks and join your local mob, there are a few things to consider here.

While it would be nice to buy a future console for a staggeringly low R3500 (relatively speaking), that’s not going to happen. First of all, such prices don’t factor in the sales tax. That extra VAT varies from state, and can be as much as an extra 0% for anyone in New Hampshire to an 11.5 increase in Illinois.

Secondly, we don’t fall under that territory. Much to the chagrin of Julius Malema were he ever to put down the hate-card and pick up a controller, we’re under the British and European territories when it comes to pricing. And in most cases, when a console is $400 in America, that translates to 400 of the Queen’s money. Or in other words, expect to pay around R5600 for your next console. Or most likely R6000 in our case.

Remember, when the Playstation 3 first launched locally half a decade ago, that 60GB fat boy would have set you back R6599, while a premium Xbox bundle would have gone for over R3700. And a Wii U bundle with the pants-wetting sublime terror festival that is ZombiU already costs up to 5000 Randelas, so start saving.

I’m going to need a bigger tin.

Last Updated: January 15, 2013

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