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Activision: Microsoft Must Justify Xbox One's Price Point

Author:
Jonathan Lester
Category:
News
Tags:
Microsoft, Xbox One

Activision: Microsoft Must Justify Xbox One's Price Point

"From A First Impression Standpoint The Win Goes To Sony"

Activision Publishing chief Eric Hirshberg reckons that Microsoft have their work cut out to convince consumers that the £429 price point is worth taking a punt on, with "the win" going to Sony in the first round.

“If you do a focus group of a gazillion people and you show them two prices for two competitive products, 100% always prefer the lower price,” Hirshberg told GI.biz. “I think from a first impression standpoint the win goes to Sony, at least as it relates to pricing. Microsoft is going to have to win the hearts and minds and convince people that the higher price point is worth it, and that it provides really meaningful capabilities that will be meaningful to consumers. And it’s a long game, so I am sure that’s what they intend on trying to do.

“I feel they have to show why that’s a good thing and why it’s worth the premium and deserves inclusion and why it’s something that gamers are going to come to really value and appreciate.

“It’s going to be a fun battle to watch, but I think they definitely have to win hearts and minds in terms of the value of it.”

High manufacturing costs for the mandatory Kinect peripheral lead to the Xbox One's premium price point, with Sony's decision to make the PlayStation Camera optional allowing them to undercut their rival (more on that later today). However, the real "battle," as Hirshberg puts it, will come down to games and the quality of the user experience - something we won't be able to judge until the two consoles are established.

Has Microsoft managed to "convince" you that the £429 RRP is worth an investment?

Add a comment9 comments
DivideByZero  Jun. 27, 2013 at 13:22

Hahaha... no.

Less powerfull than the PS4 and aimed at primarily being a media server. No.

I'll get one when it's cheap and Halo 5 is out, but I can wait. PS4 pre-ordered, more on the strength of how poor MS are doing with managing their release.

Breadster  Jun. 27, 2013 at 14:22

The only way the PS3 got away with it's higher price point this gen (and I use the phrase "got away with" lightly) was because of the PS2 being immensely more popular than the Xbox in the previous gen, and it was more powerful and had Blu-ray allowing you to watch HD films for pretty much the first time ever, and allowed for higher resolution textures in games and had a free online service.

Even with all those plus points, it still didn't sell as much as the 360 (a console which was also renowned for breaking down). Price is very important.

What benefits does the XBone have over the PS4?

Last edited by Breadster, Jun. 27, 2013 at 14:26
DivideByZero  Jun. 27, 2013 at 17:17

Halo...

Breadster  Jun. 27, 2013 at 17:37

I wouldn't really call any one exclusive a benefit of buying a certain console, it's just which one has the most good exclusives.

DrTrouserPlank  Jun. 27, 2013 at 18:06

The only way the PS3 got away with it's higher price point this gen (and I use the phrase "got away with" lightly) was because of the PS2 being immensely more popular than the Xbox in the previous gen, and it was more powerful and had Blu-ray allowing you to watch HD films for pretty much the first time ever, and allowed for higher resolution textures in games and had a free online service.

Even with all those plus points, it still didn't sell as much as the 360 (a console which was also renowned for breaking down). Price is very important.

What benefits does the XBone have over the PS4?


The infinite power of the cloud.

Every shortcoming of the XBone can be dismissed by referencing the cloud.

happygamer6784  Jun. 27, 2013 at 19:12

The only way the PS3 got away with it's higher price point this gen (and I use the phrase "got away with" lightly) was because of the PS2 being immensely more popular than the Xbox in the previous gen, and it was more powerful and had Blu-ray allowing you to watch HD films for pretty much the first time ever, and allowed for higher resolution textures in games and had a free online service.

Even with all those plus points, it still didn't sell as much as the 360 (a console which was also renowned for breaking down). Price is very important.

What benefits does the XBone have over the PS4?


The infinite power of the cloud.

Every shortcoming of the XBone can be dismissed by referencing the cloud.


The cloud is also something Sony and the PS4 are perfectly capable of using, its not something new Microsoft have just invented.

DivideByZero  Jun. 27, 2013 at 19:48

PS+ already give you cloud storage.

Steam has given this for years on PC.

BoomBoom1  Jun. 28, 2013 at 00:41

Will never buy a PS until they change their crappy controller, it sucked on the ps1 it sucked on the ps2 and ps3 and im guessing the new one is not only going to suck is going to cost an extra £10-15 to cover the touch stuff

DivideByZero  Jun. 28, 2013 at 11:44

I really like the PS controllers.. Much better than the giant Tonka Toy like Xbox ones that have massively inaccurate D-Pads.

Still, both are miles better than the N64 controllers.

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