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sergiodaly said:

do you or anyone think MS or Sony will launch their console below 500$?

this is not 2005/06 any more... people buy 3 million "half PCs" in a day for 600$ a piece... and they will do it again the next year... why not pay 500 or 600$ for a console that will last at least 5 years (will do more, but 5 is for sure)... so these are the days that people will buy 500/600$ consoles and stop living in the early 2000's.

There is no doubt that there is a market for 500/600$ consoles, but the better question is, why would any of the big 3 do it?

Nintendo can also release a highly priced console, but it makes no sense for them, because their first party franchises don´t rely on hardware power, and they only need respectable specs for third party support. So go cheap and make profit from day 1.

In my mind, MS would be better served with a 400/450$ console with a more expensive sku available at launch, because they need to upgrade the hardware so Kinect 2.0 can fully utilize it and not be limited by it while making profit at launch with the machine. I think kinect is that big of a phenom for them going forward.

For me it makes more sense for Sony to go hardcore on the specs (if they have the resources to do so), mainly because of what they are good at, 1st party developers taking full advantage of the machine and selling consoles in the process. But even that stance can change if they have something that we don´t know that they thing would sell consoles.

And that is why I said that if MS goes big time I see Sony having trouble, but there is no doubt that if both wan´t powerful machines for the next 10 years they need to make $500+ machines in 2013.

An even better question is, will someone start using the 2-3 year upgradeable models, and stop these 7 year cycles, too many questions at this point.