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The main problem here that I can see is, every time sony tiried to sell hardware thats either too expensive or sells at a loss, failed. thats the case with the ps3(they recoverd, sure, but thats after they did drastic measures to bring the price down like cutting entier BC chips) or the vita (vita and 3ds were overpriced for the market, but the 3ds had a tonn of headroom to cut prices while the vita literally couldn't do so)...
if MS comes out with both a cheaper and a more expensive option, sony becomes trapped between a powerful console quality handheld with enough specs to satisfy japanese devs, a cheap home console, and a ore powerful one, with no obvious way out.