I could see maybe $700, but $1000 would price too many people out and make Xbox consoles strictly an enthusiast product for higher earners. While MS is trying to fill a niche between first-party and third-party, offering their games on most if not all platforms, there are still several tens of millions of people loyal enough to the Xbox brand to keep buying those consoles. I know plenty of people that play on Xbox and have no interest at all in moving to PlayStation. If MS charged too much for the next-gen Xbox, that would evaporate a lot of goodwill among those loyalists who might not be able to afford such an expensive system. $1000 would be well beyond even the historical high end for a mainstream console even if you account for inflation (the PS3's $500 U.S. launch price is just under $800 in today's dollars).
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In accordance to the VGC forum rules, §8.5, I hereby exercise my right to demand to be left alone regarding the subject of the effects of the pandemic on video game sales (i.e., "COVID bump").
