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SvennoJ on 05 March 2016
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Jega said:
SvennoJ said:
Sure, but it would not cost much less than a comparable steam box and get no special optimization treatment from 3rd party devs.

Hardcore gamers already get the benefit of a relatively cheap launch price, subsidized by the vast majority of sales that happen when the console is cheaper to manufacture and MS can recoup R&D costs. Cut off the profitable part of the gen and the launch price will be $600 or $800.

The same thing is true for games. Game companies invest in new game engines at the start of a new gen to reap the benefits throughout the second half of the gen. Shorter cycles means more costly game development, next to more systems to maintain, game prices will be $80 or $100.

Of course that's assuming the market doesn't shrink after getting hit with more expensive consoles and game prices...

I see $500 is a good for the console market. Microsoft could build a faster apu with more memory for $350 and sell the console for $400. 

The point is to not selling the console at a loss, but at a profit.

Some gamers will get upset that there is a more powerful console out, they will just have to upgrade to have the latest.

It will be more than $500 or not as much as an upgrade as you would like.

The R&D costs, factory retooling costs, marketing costs, stocking extra sku's, all need to be divided over much lower sales expectations of this new device.
Just selling the console at a little bit of profit is not enough. MS is not in it for a zero sum game, plus this new console also needs to generate cash to start developing the next console.

The general public will look at a $500 dollar XBox One S vs a $300 ps4. Now DF can shout all they want that 1080p at locked 30 fps with sharper shadows is much better than 1080p with frame rate dips and occasional screen tearing, yet the difference will be too small to justify paying $200 extra for the same games. Developers are not going to make a generational leap in lighting for this new upgraded hardware. It takes them 3 years to get comfortable with new hardware as it is.

It does not make sense. Current console price/power ratio is factored on the fixed hardware being sold for upto 10 years. Either you raise the price significantly or lower the power significantly. Both will make it a lot less desirable next to a competitor that adheres to the 7-8 year cycle and 10 year support.