Why the Scorpio will sell for no more than $399 (if its 6tflops).

[Drakrami]

Machiavellian said:

Drakrami said:

Finally, some common sense on the internet. Scorpio is probably MS's last comeback strategy to win back market share. If they failed, they aren't going to focus on the console market anymore. You can always see it in the cards... with the investment they make in gaming developments, they have already streamlined their investment a lot. There has always been rumors that Microsoft wants to drop the console. And Microsoft even openly says Scorpio is the last console generation. 

So they are put in an extremely awkward position with the PS4Pro, at this price point, and this early release date. 

Satya is not going to greenlight Scorpio incurring big losses per console when they are already in such a weak marketshare position. 

Actually there have been rumors that investors wanted MS to drop or spin off the console.  I cannot remember any rumors on MS themselves going down this line.  Do not forget that Satya is looking to make MS a tools and service company.  The Xbox brand is still one of their best devices to deliver the service part.  With that, investment on strengthening the Xbox brand is in their best interest.

 Microsoft's Xbox Live has become the envy of all other online-gaming services. Yet, speculation abounds that Nadella will try to trim the fat at Microsoft and sell off the Xbox division to another company. Xbox doesn't fit into Nadella's vision for Microsoft, reports say, and he's willing to drop the division for the right price. But Nadella should consider such a move carefully. While gaming might not fit into Microsoft's core enterprise software and services business, the Xbox division is too big and too important for Microsoft to sell off even as it tries to move deeper into the mobile hardware market.