$399 means a significant loss on sale because a loss at $500 means you're adding a further $100 to that loss at $399 removing the disc drive doesn't offset $100 that's the issue they face with the XSS pricing.

1 - MS still are aggressive it's called game pass, adding as much software to it in one subscription that works across multiple platforms present and future.

2 - We're entering an economic situation that will affect people's income in the coming months the price brackets are going to shift.

3 - The majority who buy and play mainstream games aren't connected to any platform they're only connected to their games of choice the's hardly any detriment to moving on from a platform with their gaming habits this is why Sony moved to secure games like SFV from any other platform because the is no platform loyalty from the majority they just go with the tide.

The only people embedded in an ecosystem are the minority the people on forums and such most consumers don't really care games like COD, Madden, NBA, FIFA etc... come out almost yearly so that's hardly much of an issue for them as these are games which when the next game arrives in a year the previous is redundant to them. This even extends to various Triple A titles.

Actually a good price.

I'd spray-paint the black top white though.

It's been confirmed with IGN.

https://www.ign.com/articles/xbox-series-s-specs-leak-1440p-120fps-raytracing-512gb-ssd

It says 4k media streaming so there's your answer there

Very competitive price point. Great job on the Xbox team for getting to that price. Will be an easy sell to the casual/annual COD, fifi, NBA2k gamer. The black circle looks meh, but I understand why they went with it. It looks similar to the X1S so they had to change the design somehow.

Or just get Xcloud. The next gen application of streaming for core gamers is that we don’t need to buy additional storage or constantly manage your hard drive so long as you don’t mind streaming games from your home. Also instant gaming as opposed to waiting hours for the instal. 

Can you imagine all the kids that want an xbox x series for Xmas and parents end up getting them a series S lol

At that price, a lot of people will impulse buy. I'm not interested at all in the next gen xbox but at £250 I was thinking why not. Then I stood back and thought wait, half a TB isn't a lot, and what will the next gen games look like on this thing. Its a third of the performance of a series X, and under 60% under the ps5. Will they run like shit, look like shit, what features will we miss out on. Am I better off holding back until there is a price drop?

Might be worth as a streaming media hub that happens to play games maybe.

One thing is for sure though, Sony will be thinking wtf unless they can bring the digital down to £300-350 and offer it with a 512gb SDD too. If they can, they will be happy.

Looks like a big fucking domino. Aside from that, they nailed it.

So here's a Series S comparable PC build. It's kind of expensive now, but prices should drop a ton on Black Friday/Cyber Monday. Also, this build is using a 5500XT, when AMD should have their new cards out in a few months. The new cards should have a much better price to performance ratio, lowering the cost further. https://pcpartpicker.com/list/kzxqx6

I didn't even consider Sony being able to drop the size of the SSD. If they dropped their Digital SSD down to 412 GB (Half the size of their regular SSD), they'd be able to save an additional $50 on manufacturing costs. Not having a disk drive should lower costs and allow them to subsidize thanks to a bigger return on digital sales. So Disk PS5 for $500, and Diskless for $375 to $350, with half the SSD space.