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Nate4Drake said:

Give me a break if I'm wrong, but I read that the Kinect-less X1 cost $20 more than PS4 to be produced.

And I agree that MS have more money to throw. But I believe Sony could keep the price just $20 higher than MS, and saving other $20 to produce PS4, it's a $40 more in the Sony pocket per unit sold. Now, these are numbers based on today production. I don't know what these numbers will be in a year from now :)    The production cost will be lower for both in a year, but I suppose the PS4 will be still cheaper to be produced.

PS : The Xbox One with Kinect costs $471 to make. The PS4 costs $381.    I think the Kinect-less X1 costs $401 to make.

Kinect cost $75 to make this should actual put it to 396 however this is off very rough estimates. So it could be below that.

http://www.extremetech.com/gaming/171697-xbox-one-costs-more-to-make-than-the-ps4-thanks-to-esram-and-kinect