I'm really skeptical about the BC topic. MS says it's going to be there and Sony seems hesitant but they did say all their first party titles would be. It seems like Sony doesn't want to say it will be 100% BC because they could end up being responsible for patching various games that don't work out of the box. It makes me wonder if MS is just claiming 100% BC but can't really do that because they would have to play every single game ever released on the X1 and verify it works. MS is well known for saying things that are hyperbole or just flat out wrong. 

Dont think they want the same effect they got at e3 2013. I think what he means is that they want PS5 to be in between NS and XS. That middle ground is where the brand dies best.

With PS5 going for launch on November I wouldn't expect they to finish the price before July.

They are still refining the cost control and looking at their projections of sales and competition until the last minute.

All this is saying is that they want to be competitive. It doesnt mean they will undercut xbox... tbh it's not news. This is just companies make pricing decisions except Sony in 2006

Why is Sony being so beta, they are the market leaders they should be dictating.

They are being humble and avoid being arrogance. They know Microsoft are not messing around this time.  

Figuring out if Lockhart is actually coming and strategizing how to deal with it will be important.

On one hand it seems logical to keep the PS5 price between both XB's if they can, but the closer PS5 is priced to Lockhart, the more PS also indirectly legitimizes it. So does PS5 get placed right in the middle, or up around XBSX at a higher, less affordable price? There are pluses and minuses to both approaches.

The price can always be dropped if need be.

I read somewhere both microsoft and sony have come to terms with the level of power the consoles will have, so they don't undermine each other in terms of pricing and so on. And that they will be relying more on exclusives and ecosysem to differentiate the systems apart. So they should have a good idea in terms of pricing, since the internals will be similar.

Kinda find that hard to believe unless they both are fully in agreement that $500 or whatever, is the price the hardware needs to be, and that the budget for that price has to be like $600 max.

If one company wants to focus on affordability a little more, and the other wants to push the hardware capabilities, you immediately have a problem. If one wants to incorporate VR and the other doesn't?

Not to mention this would likely make things even tougher for MS. Unless XB can clearly prove their games and ecosystem are undeniably better early on, why wouldn't you buy a PS5 instead since the hardware is basically the same? I don't see why MS wouldn't want the chance to throw a wrench into SNY's hardware plans.

Sorry but no, it is not going to be a “smooth” transition. Xbox is doing a smooth transition with cross gen launch games. Sony is basically saying “you want the newest games, buy the PS5”.