If the difference is only $50 it wouldn't exist, makes zero sense.
It might make sense to them if it were to allow them to minus 1 from the first digit when writing "PS5 starting at $XXX"
If the difference is only $50 it wouldn't exist, makes zero sense.
Anandtech had an article on the SSD and we had discussions about it as well, although it might increase cost they actually implemented it in ways to cut costs as well, all in all save for R&D i don't think the actual production cost will be that significant.
Cooling was also noted to be just a few notch higher from bloomberg's estimate,
The GPU being that much smaller should save ~$30 off, if not more (naive assumption)
Personally, i think Sony goes for broke and price $399 both, although my more rational mindset agrees with your outcome as well.
On topic, MS is willing to eat losses (which is usual) despite having the flexibility with a low and high tier model to stay competitive (249 was even on the table?)
Phil has claimed they don't really care much about console sales, their diversifying investments into GP and PC sheds some proof on this,
Tho i mostly think its PR
Sony on the other hand absolutely needs you to buy that BOX, That is their only line of entry into the ecosystem for now, so who is more willing to eat entry losses here?
Couple that with the solid price and forecast analysis thread from armsgunnar, and i think maximum pricing here is 399/449.
Hell i used to think these machines were very costly to make until i saw XSX price tag with those crazy specs.
I think they know what the competition is up to and are responding in kind, MS nailed their pricing to a T
Yeah, this feels about right to me. I gotta say, I was thinking of the GPU sacrifices as counterbalance for the SSD and cooling, but it does seem unlikely that they would be THAT expensive in the end. The PS5's GPU has A LOT less CUs than the Series X. In fact, it's closer to the Series S in terms of CU count than it is to the Series X, just clocked significantly higher to reach performance similar to the SX. Considering the Series S is able to reach a 299 price point, I don't think 399 is out of the question at all. In fact, in the Road to PS5 video, Cerny insisted that the reason for the lower CU count and higher clock rate WAS to maintain a responsible price point for users.
The 30 million number also includes Switch Lite (which is $199), but yeah, Nintendo is likely having a nice profit on their hardware, indeed =)
Wouldnt (or couldnt) the situation be the same if it was the other way around? :) Microsoft reacting to Sony's prices, and then we wouldnt have known if those were Microsoft's original price points or not.
I think BOM of the Dualsense is likely higher than the Series controller. There new Xbox controller is mainly just some minor tweaks to the existing Xbox One controller. Whereas the Dualsense is a major revision, with several brand new features, requiring additional components.You know, looking at the PS5- I see three things that would potentially inflate its price compared to the Series X, and 2 significant ones that would decrease its price.
1- SSD: This is the biggest unknown. The bandwidth on that thing is insane, and I don't know how much more expensive that makes it compared to the Series X's solution.
2- Cooling solution on the PS5 appears to be more costly from what we've seen, but that should still be a fairly negligible cost
3- The PS5 is bigger. Meaning it's more expensive to ship and might be more expensive to assemble. Plastic cost is also higher, obviously.
Those 3 things, minus possibly the SSD, don't appear as influential to a price than these other things though:
1- GPU: The number of CUs on the PS5 is significantly lower than on Series X. One would imagine they chose to clock them higher and spend more on a cooling solution because they felt the price to performance ratio was worth it. I would bet the GPU + cooling solution on PS5 is overall pretty significantly cheaper than the Series X's GPU.
2- CPU: The CPU is (pretty marginally, but still) weaker than the Series X's, which may reduce cost or may simply be to accomodate the cooling system.
3- Not as significant, but the SSD is smaller on the PS5 than on the Series X, which may offset a bit of the SSD's higher bandwidth cost.
I think with these factors in mind, and assuming Sony is willing to lose just as much on each console sold as Microsoft (which I think is an easy assumption to make), I think a 449 PS5 physical, and 399 PS5 digital might not be out of the question?
Like, the GPU is an extremely costly component, and the PS5 is only close to the Series X's performance on that front because a less capable GPU is allowed to run hotter. Unless the cooling solution is so extravagant that it runs up the cost, I would assume Sony is saving a significant chunk of cash per unit on that aspect in comparison to Microsoft.
Heh, won't be a major enough difference to influence price. Controllers are historically very profitable, the pack in's cost will be negligible and replacements /extras will subsidize.it for sure.I think BOM of the Dualsense is likely higher than the Series controller. There new Xbox controller is mainly just some minor tweaks to the existing Xbox One controller. Whereas the Dualsense is a major revision, with several brand new features, requiring additional components.
Spider-Man for free? No, but bundled in the $500 sku, of course. And yes to a $400 sku.. anything else?You think you're getting Spider Man for free and one hundred free US dollars for choosing a system that restricts you to the digital purchases many are already restricting themselves to for nothing?
Yeah, i see what you mean. Maybe the $299 price for Xbox Series X would have made an even bigger impact if we already knew the PS5 price, i can see that situation, indeed.Yes, very true. But the Series S was Microsoft Big Mic drop moment, which now they have been denied. Sony are obviously in a much stronger position regardless, and now have the icing on the cake too.
Nevertheless, rational would say, if you are coming in with a lower spec console, let's just take the head figure of 10TF vs. 12TF, then you should expect it to be cheaper, like £50. So now thats £450. Naturally, the DE version must be cheaper still. That brings us to the magical £399.99.This is the likely outcome.
Now that i think of it, why didnt ms just go with the X at $399 and be done with it?
Why creat such a weaker console compared to the X and PS5?
Now that i think of it, why didnt ms just go with the X at $399 and be done with it?
Why creat such a weaker console compared to the X and PS5?
To offer an option for large swathes of the population that cant commit to these prices. Maintain power superiority.Now that i think of it, why didnt ms just go with the X at $399 and be done with it?
Why creat such a weaker console compared to the X and PS5?
Ok, but they losing at least $100 combined on both sku i would figure.For one, they wanted to retain the power crown, Spencer has been very clear about that. Presumably they felt that wasn't possible at $399, and saw a gap in the market for a lower-cost entry into next gen.
There are two markets: enthusiasts, and people with budgets. A $400 console means making compromises to both of those markets. There's no way they could just make the X $400 without significant cuts to the hardware. The budget market is just going to wait until it hits $300 anyways like they did with the PS3 and PS4.Now that i think of it, why didnt ms just go with the X at $399 and be done with it?
Why creat such a weaker console compared to the X and PS5?
Ok, but they losing at least $100 combined on both sku i would figure.
And $399 is hella affordable/mass market price, even more so when you consider folks can also trade current gen console to help with purchase.
I've owned many consoles in my life, I'm probably closer to an enthusiast than a casual gamer, I've never been able to afford $399 (or the U.K. equivalent) at launch, I've always had to wait for price drops. The last console I could afford at launch was the Dreamcast at $199 So no, it's not hella affordable.
Only if you ignore the fact that PS5 uses a much higher spec SSD, has a more expensive and advanced controller, and the advanced 3D audio processor. Those all add cost.Nevertheless, rational would say, if you are coming in with a lower spec console, let's just take the head figure of 10TF vs. 12TF, then you should expect it to be cheaper, like £50. So now thats £450. Naturally, the DE version must be cheaper still. That brings us to the magical £399.99.This is the likely outcome.
Only if you ignore the fact that PS5 uses a much higher spec SSD, has a more expensive and advanced controller, and the advanced 3D audio processor. Those all add cost.
Only if you ignore the fact that PS5 uses a much higher spec SSD, has a more expensive and advanced controller, and the advanced 3D audio processor. Those all add cost.