Home Gaming Xbox One to cost more than PlayStation 4

Xbox One to cost more than PlayStation 4

2 min read
44

Battlebeginbs

The next-generation of consoles is filled with uncertainties. We don’t know just how much publisher-mandated DRM will be in place on Sony’s PlayStation 4 – and we know close to nothing about what games we’ll see on Microsoft’s Xbox One. there are pros and cons to both machines – with the biggest deciding factor for many being the price. According to Michael Pachter, the odds could weigh in Sony’s favour.

Everybody’s favourite video game industry analyst says that the Xbox One is going to cost $399 at launch, while Sony’s PlayStation 4 will cost $349. Pachter says Microsoft may still go the subsidy route, giving you a cheaper Xbox One provided you lock yourself in to a two-year Xbox Live contract.

“Microsoft could conceivably subsidise the Xbox One through prepaid Xbox Live Gold subscriptions (as it has done on a limited basis in the past) or premium Skype functionality as well, “ he said. “Similarly, Sony could subsidise the PS4 through prepaid PlayStation Network subscriptions, but unlike Microsoft, it does not have a history of doing so.”

“We believe the ability to watch live TV from a cable, telco, or satellite set-top box through Xbox One could entice an MSO to drive subscriptions through a subsidised box in exchange for a multi-year contract. The ‘always connected’ requirement for the Xbox One likely means that a broadband connection will be required, suggesting to us that ISPs may have an incentive to offer a subsidy as well.

The reason for the price disparity is that the PlayStation 4 will just end up being cheaper to make – without all that high-tech wizardry that powers the very necessary Kinect 2.0. According to Pachter, the cost of raw materials for the PlayStation 4 totals around $275, while Microsoft’s Xbox One costs $325 per unit. This generation, it was very different: Microsoft’s Xbox 360 was initially significantly cheaper than the PlayStation 3 – which is one of the reasons the console found its way in to so many homes.

It’s probably worth noting that these prices are all without US Tax – so with that, and the current exchange rate, expect to pay about closer to R4999 for the Xbox, and R4799 for the PS4. Unless our president opens his mouth again, that is.

Last Updated: June 4, 2013

44 Comments

  1. Admiral Chief Commander

    June 4, 2013 at 10:36

    *inserts sound of aircraft shot down spiralling towards the earth*

    Reply

  2. Umar Kiiroi Senk?

    June 4, 2013 at 10:37

    Shame now all of Zuma’s wives can’t watch a movie together, he has to buy a license for them.

    Reply

    • Admiral Chief Commander

      June 4, 2013 at 10:38

      XDXD

      Reply

  3. Trevor Davies

    June 4, 2013 at 10:38

    Does it come with complimentary

    Reply

    • HvR

      June 4, 2013 at 11:55

      And instructions “apply liberally with one finger to targeted orifice”

      Reply

  4. Trebzz

    June 4, 2013 at 10:50

    Were people actually going to buy Xbox one?

    Reply

  5. Sir Rants-a-Lot Llew

    June 4, 2013 at 10:53

    Ouch. That’s a hefty price 0o

    Reply

    • Skyblue

      June 4, 2013 at 12:27

      I disagree, it’s comparable with what we’ve been paying for the current gen. PS3’s were still being sold for over 4k 6 years after release

      Reply

  6. Jakster

    June 4, 2013 at 10:57

    At that price I wouldn’t buy either until CNA/Toys R Us requires and overnight stay at the local mall bench.

    Reply

    • Skyblue

      June 4, 2013 at 12:29

      Not gonna happen with PS4 or X1. Firesales are for clearance and I doubt either one of the nextgen consoles will be poorly received.

      Reply

  7. Lardus

    June 4, 2013 at 10:58

    Lol, Teenage Mutant Ninja President 🙂

    Reply

  8. Matthew John

    June 4, 2013 at 11:01

    What is Showerhead doing as a ninja turtle? HA ha ha! I rate your pricing is a little low for the new consoles, I am expecting closer to R6k

    Reply

    • GRoy

      June 4, 2013 at 12:12

      Watch Trevor Noah’s “Thats Racist” for the answer to that question. “Cow-a-PANGA!”

      Reply

  9. HvR

    June 4, 2013 at 11:04

    Aren’t they selling the Xbone with a TV?

    Reply

  10. Rinceandspit...

    June 4, 2013 at 11:06

    What is an Xbox One?

    Reply

    • HvR

      June 4, 2013 at 11:45

      Not 1 but bigger than 360, but not 3 because then it will be less than 4. – heard in MS boardroom.

      Reply

  11. Uberutang

    June 4, 2013 at 11:29

    Not so sure about his cost breakdown.

    Not sure but Gddr5 is pretty expensive? As is edram. I suspect that with Kinect2 the Xbone will be a little more expensive to build than the PS4.

    Reply

    • HvR

      June 4, 2013 at 11:33

      GDDR5 is a lot more expensive than DDR3, the thing that is going to have major cost implications for M$ is recouping the billions spent on custom silicone. That is what made the PS3 effectively an failed product out of a financial standpoint. I’m still going for R6500+ for Xbone at launch.

      Reply

  12. boet

    June 4, 2013 at 11:50

    Is such a small price difference really a big issue? People pay more than that for a phone to play Angry birds on. 5-6k for something to play games on for the next 8 years = bargain.

    Reply

    • HvR

      June 4, 2013 at 11:57

      yes but with my phone I can watch tv (streaming), browse the internet and PLAY GAMES!!!

      Reply

      • mancera

        June 4, 2013 at 12:07

        And you pay for it monthly, not in one go

        Reply

        • Skyblue

          June 4, 2013 at 12:33

          So open an account or put it on budget and it’s the same bud.

          Reply

          • mancera

            June 4, 2013 at 13:40

            Not entirely, you won’t be getting your subscription to XBL or PS+ included in the price and the games are more expensive… 😛

  13. That Tall Twit

    June 4, 2013 at 12:28

    Man, that little green guy can slice and dice controllers as well as he can a country’s credibility!

    Reply

  14. Khulani Ndlovu

    June 4, 2013 at 15:33

    Wouldn’t be surprised though its a multi-media out of this world, 😉

    Reply

  15. Tbone187

    June 4, 2013 at 15:49

    Eish ,, Jacob… eish!!!

    Reply

  16. Sentient_Slug

    June 5, 2013 at 08:33

    Everyone is dreaming if they honestly believe the consoles are going to come into the SA market under 6 grand. come on guys!!!!!!

    Reply

Leave a Reply

Your email address will not be published.

Check Also

Xbox Series X Restock Update Today: Track on Twitter, Walmart, Best Buy and More

New consoles are on the horizon, and while Sony and Microsoft have spoken plenty about wha…