I do not see this happening. Firstly, from a business stand point, if the Microsoft Gaming division loses too much money I can honestly see Microsoft just change their entire approach to Xbox and gaming; which is why I doubt anyone in charge of marketing in that division would want to sell the system for a deeper loss. Secondly, even if they remove Kinect (which is not what you are proposing but I am just furthering my argument) I cannot see Microsoft being able to get the price low enough to sufficiently compete with PS4; yes the Xbox One hardware is less powerful and should be less expensive to produce but it is not that much less powerful and in fact very much similar to PS4 so I cannot see them drop the price too far below PS4. Lastly, Sony has exclusives that resonates better with the European market than what Xbox One offers at this point which is why I see Sony getting the upper-hand here. There is a chance that the system will do better in North America than PS4, but I will reserve my judgement on that until Sony can supply a steady shipment so that I can observe the actual demand for both systems.
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