Either Kinect is very expensive or M$ want a big cut of each xbone sale. Probably the first one.

I'm thinking just their stance in the industry, their partnerships with parts makers for their Vaio computer range and ability to make their own hardware with few overheads. MS on the other hand do not make their own stuff, they are a software company at heart.

It's why I think Dell would make a great console if they wanted to.

One company is aiming for profitability from the start, the other is loss leading. I think Sony have the best idea but that only works if you take the market strong enough to recoup your losses later in the life cycle. I think in the US Microsoft would be fine being a bit more expensive but in other regions the PS4 is going to dominate unless something gives.

I assume they're selling the system for $80 loss, whilst the PS3 eye will be sold seperately for its actual cost (unlike most accessories)

Where as microsoft are probably just about breaking at $500 price point (kinect 2 included)

I guess it's Sony's turn to be lucky with their tech decisions. Sony bombed hard on Betamax tapes, they failed to get UMD going outside of PSP, Minidiscs failed hard, Blu-ray won, but it came right at the end of the physical media era.

Finally Sony backs the right horse with GDDR5. Strange that quite a lot, to date, has turned on the decision about what sort of RAM to use. Sony hasn't won anything yet, but the RAM decision giving Sony a more powerful unit (in the box), a smaller form factor, a sexier box (I called that months ago, Sony would have the sexiest looking nexen machine) and a cheaper price point (Kinect is probably a much bigger factor here though) gives Sony a lot of advantages leading up to the launch.

Even the Sony haters have to admit Sony's done a damned good job up to this point. The one criticism people had (not showing the box at the Feb event) is an irrelevance.

It's a cheap console, as is it is not as powerful as the cloud Xbox has . LOL

Kinect 2 really won't be THAT expensive. If you count in that the ps4's APU and memory is slightly more expensive the difference in cost won't be over $20-$30. I think they wanted to make profit on each system sold from the get go, with SOny selling the PS4 at around cost price.

Don't be so sure yet though, i wouldn't be suprised if MS ends up matching the $399 in the end.

I'll be interested in that for sure. Will be one hell of a day for me to get both those bad boys

Also, I just held a Vita for the first time the other day. Hasn't aged at all in the last 1.5 years. I think it'll still feel cutting edge in 2 years time. Quite the machine!

PLAYING KNACK ON THE TOILET FTW!!!

I think they will be selling PS4 with a loss, and trying to compensate that with paid PS+ subscriptions

$ 400 is a great price for what they´re offering, but somewhat it does seems that it doesn´t cover the costs.

does the PSeye we already have work on the PS4,

People should't be jumping the gun either i think,sony haven't given a release date,microsoft are ready to roll by the looks of it

we don't really know the quality of each product yet and who might have tech issues at launch these things can easily effect things,

no doubt MS are going for the US tv/sports market though,this might work well who knows