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GribbleGrunger said:

We'll see, but if they don't they're done. MS honestly believe (or their fans do so MS will push it) that it's ONLY power that has made the PS4 successful, evidenced by the entire Scorpio reveal being about 'power'. This has happened because of the false narrative surrounding the PS4 games list and now it's so ingrained that even though the truth is obvious, people still (to this day) believe the PS4 has fewer games. This has lead to people believing only 'power' is at the bottom of it. It's not but MS are clearly trying to plug into that perception with the Scorpio. By calling it outright or promoting the 'concept' of a next generation, MS give themselves a chance of some kind of 'victory' PR. I don't believe they will, I'm just offering a possible solution. I believe they're dropping out of the console business in all but name. Instead of promoting Windows 10 to XB1 they're going to promote Xbox to Windows 10. It's all about perception.

Rebranding an XB1 as XB2 doesnt make it a next gen console. What will make it a next gen console is if it has its owm games. And by that i just dont mean games that arent on XB1, but more importantly aren't on the PS4/Neo. Cause the second you can get the same game on the PS4 then the "next gen" scorpio becomes irrelevant. 

I think MS will stay the course. I also feel that if there is as much as a $100 price difference between the Neo and scorpio, it won't matter how much more powerful the scorpio is. I don't think there is anyway possible MS makes the scorpio cost less than $499. The biggest advantage a years advantage gives Sony with the Neo is that they can price the scorpio out of the competition.

By the time the scorpio comes to market, there could very well be around 70M PS4/Neo on the market. That large an install base gives Sony a lot of power. They could drop the PS4s to $199 or even $149 and drop the Neo to $299. All going against a $499 scorpio.