He's setting up the NGP for a higher price point. They are setting up the expectations so when a $350 or $400 price is mentioned people are not as surprised as they were with the $600 PS3.
Granted, the PS3 is not a bad platform and its price was necessary for its features. But, had they began with a feature set more like the slim model (only larger) they could have potentially had a $500 system with similar features and been better out the gate.
In the end though, price is a very important piece of the puzzle, but more than anything else, content is king.