Although this rumor is probably complete bs, i detect hubris on the part of microsoft. Just because the 360 ended up doing well, and micro didn't bleed out as much $ this time around, they think people will be stampeding to buy the 720 or whatever its called. Always online, high price point, expensive subscription models, nickle & diming customers for everything. Microsoft is done, i'm calling it right now, they're going to be out of the home console market within 3 years.

If the 720 is really going to launch for $500 they either ramped up the hardware to compete further with Sony or Sony is going to be taking a major loss if they price the PS4 below $500.

The PS4 currently revealed specs would cost much more than the currently rumoured 720 specs.

.. 8Gb memory has nothing against this $500 beast mass market product!

Wow, if that $500 rumor is true than that is way too expensive. Have they increased the specs of the console, cause Kinect 2.0 can't be that expensive. I wonder how much the PS4 will be then? :O

So. $300 on a contract is not a bad idea. $500 off contract probably won't be bad either as I don't expect PS4 to be much less, if any.

However, the always online DRM model will certainly be a defining item, unless Sony does it as well due to 3rd party pressure as I am 100% certain EA and others are pushing for this. This is exactly why Nintendo is losing EA support with Origin as MSony have agreed to this in some fashion and Nintendo refused. My speculation, but it makes perfect sense.

May 21st is simply going to be a small reveal and a narrow focus on generalities with a game reel and probably one big first party reveal. Not a new IP.... likely Gears related since Halo4 just came out.

I certainly hope MSony both price in the ~$499 area. Makes the eventual $299 WiiU, next holiday, a great deal.

Cost much more but not $500 meaning anything close to major losses, for sure. Which makes me believe Kinect 2.0 is bundled altogether as originally rumored.

drastically different take on the same quote number 3..

Yeah I don't believe this guy. The major flaw is giving out the very specific date. Microsoft would be pissed if it was announced so casually in an interview.

I simply cannot believe all this several rumours about always on. I made my thoughts on this and i now think maybe the development kits have to be connected to a Microsoft server to track which code is being run and so on. One other possibility is Microsoft simply knows sony plans something similar. We know sony said if the publisher wishey su h features he could be able to implement that, but it is not always kn per default.

With that said i hope some people think about it before crying out sony has won next gen. Mircosoft is not stupid.

Judging by what has been leaked about X720, both consoles have very similar specs.   Only the system memory on PS4 costs signicant more.

Also, MS plans to include Kinect 2 with every console sold. That's probably what is raising the price.