Sony has already managed to cut the costs of PS4 hardware production

[Landguy]

BeElite said:

Landguy said:

I don't think that the XB1 has showed a lack of demand.  I think it has showed a lack of pricing.  I am not sure how people call the removal of hardware a price drop?  Did the price change?  Yes, but part of the system capability left with it.  M$ hasn't been screaming off the rooftops about the new price. 

We are so close to the holiday season, the real price changes are just around the corner.  THe reason Sony even brought up their cost of production drops was to let invenstors know that they won't be in trouble this holiday when they do the normal bundles and special pricing this season to keep pace with what crazy stuff M$ will be doing.

Yahh getting doubled half the time in your home market. really showing that demend.   Entry price is lower, its been cut from 500 to 400

MS wont be pulling anything crazy, xbox is not exactly a love object at MS.  

you should take a few minutes and research the sales trends for the 360 and PS3 on a month by month basis.  In most years, the PS3 either led or tied the 360 for 9 months of the year.  But, when the holidays hit, the 360 would outsell the PS3 by a generous margin.  This made up for the other 9 months.  If you look at last holiday, M$ outsold them too.  M$ knows like everyone else, that this holiday will probably be the most important one for the XB1 if it has any chance to remain relevent in the consumers mind.  If they wait til next year, it will be too late to get people to care.

I doubt M$ will do a real price cut this year(even though they should).  They will have some incredible bargains though.  Today, if you wanted, you can go to Best Buy and get a XB1 and recieve a $50 Xbox Live card for free.  This is in July.  I would expect deals that bring the effective price of the XB1 down to $299 during the holidays.  This will have an impact, as once the price get below $300, sales patterns change dramatically.