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binary solo said:

I expect PS4 to be $299 at the end of this year, and Xb one only has a chance of significantly improving sales if it is $50 cheaper than PS4. The correct price point for Xb one is $50 less than PS4

? I can walk into a shop here and get an XBox One (+2 games) for $279-$299 (that INCLUDES taxes and store margins), while the PS4 sits around $329-$349 (NO game). The X1 has been AT LEAST $50 cheaper over here since the Huns invaded Europe sometimes in 375ac, so your argument is somewhat strange.

 

As a general note, another argument that has often been made here is the "MS goes for profit, not for numbers" mantra. Granted they no longer lose a shitton of money by having removed the Kinect2, but they have probably been selling XBox1s around manufacturing costs for quite a while now. And mass manufacturing gets MORE expensive the fewer gadgets you make. Another pricecut by MS would mean losing money again on a product, by principle, and that is something Nadella obviously stopped.