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shikamaru317 said:
I still think that MS should aim for:

$500 Series X: 12 tflop
$350-400 Series S: 7-8 tflop

Even if they have to sell both at a small loss early gen to hit those prices, they can make back anything they lose with accessory sales (most accessories like extra controllers are sold at over 2x mark-up), game sales (console digital sales continue to increase, and the profit margin on digital sales is higher than physical), and subscription sales (MS has alot of Xbox Live Gold, Gamepass, and Gamepass Ultimate subs, if their goal moving forward is to push as many Gamepass subs as possible, it does make sense for them to sell hardware at a loss in order to increase the potential userbase for Gamepass as much as possible).

I believe this what they should be aiming for too; the Series S at 7/8 TFLOP is a really good deal too and coming up front with the 2 configuration (unlike the Xbox One and Xbox One X) is also something find great.

I think they are really betting a lot on the Xbox Game Pass subs and will probably want to focus more on that to make money.