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| Hardstuck-Platinum said:
I don't understand the comment because just by looking at the current XBSS/X prices we can see they are no longer following a subsidized model? XBSS is 380$ and the XBSX digital is 550$. Historical precedent alone is all you need to counter your argument? |
A price increase alone cannot confirm that subsidisation is or isn't in place unless we know the exact cost they were dealing with before and expect to deal with in future. For example was the Xbox selling any hardware at a loss in 2024? Was the price increase driven mainly by concerns around Tarifs? They could technically still be subsidising hardware if Tarifs go into effect. Is it an attempt to cover increasing costs or expenditure elsewhere?
There is no historical precent as the last consoles Xbox launched were subsidised. And subsidization for a product is not a black/white flip...For example PS4 was apparently sold at a profit from year 2, meanwhile Series X is was apparently sold at a lessor loss compared to Series S. Seeking profit at one point doesn't mean you will never elsewhere be willing to make a loss. There are different pricing strategies for different systems and these can change throughout a systems life. For Xbox Pricing and strategy is based off market conditions and other variable factors, so I don't think a price increase 5 years into a generation where their competitor has already done so in most markets, can confirm that there will be no subsidising in future (for new platforms.)
My expectation is MS will have one system at break even and another at a slight profit, which will be less subsidising then what they have done in the past.
