If Microsoft choose to go with 2 SKU (premium and cheap ) then Xbox series X (12 tf) will not going to be cheap. But if Microsoft decide to choose only one SKU , Microsoft can play the price .
But i bet Sony also can play the price games due to their benefit on current gen sales and revenue from PS4 sales and games sales. Sony business now focus more on Playstation their live and butter now depend on Playstation , I bet they are willing to bring a lot of blood and sacrifice to make Playstation number one again.
Yeah, if MS only does one model, then I fully expect to see a 500 price point on Series X and could see Sony doing 450 or even 399 on PS5.