Since MS doesn't seem to care much about how many Series X's they'll sell, I don't see why they would be willing to take a hit on each console sold. I'm guessing $599 for Series X, $499 for the ps5 and $399 for the ps5 DE. If Series S is real, it will probably be $299, though.
The cost of the UHD Bluray drive will be about $25. (The UHD Bluray drive in the XBO S was only estimated to cost $33.50 back in 2016). So a $100 price decrease for the digital edition seems unlikely.
I'm not sure what the pricing will be for this digital edition and how they will make it attractive compared to the standard ps5.
Bundled with a game?
They have to do something to make the digital edition more appealing but removing the drive doesn't bring down manufacturing cost much so I'm not sure they can make it an attractive purchase just by lowering it's price, without taking a hit anyway.