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Barkley said:

$600 wouldn't surprise me. Both consoles will be $500-$600. I assume XSX costs more to produce than the PS5, more CU's etc. Though the PS5's faster SSD may cost more to produce too, IDK.

But I expect PS5 to be $500+ and the XSX will either be the same price or more.

I think they can take a bigger loss on the discless version because all the sales on that console will give Sony more money as they don't reduce prices on PS store nearly as much as physical games and Sony gets the part of the sale that would normally go to retailers.  Plus a digital console owner is probably more likely to own PS+ AND PS Now and be online focused with his gaming which means microtransactions for them.  Basically I'm saying Sony can bank on making more money long term from a digital console customer.  So they can take $100 less price even if it means a bigger loss on hardware compared to the physical disc console



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