Microsoft teased that it would be delivering the world’s “most powerful console” last year during E3 2016. The curtain was completely pulled back at this year’s expo where the Xbox One X was fully revealed. While its external design is very similar to that of the Xbox One S, this system is packing some seriously upgraded horsepower. Microsoft really has crafted the most powerful home console to date. With specifications like a 6TFLOP processor and 12GB of GDDR5 RAM, the Xbox One X is definitely no slouch. But while its tech-specs are nice, not everyone is too fond of the price-tag that those powerful components are attached to; $500 (USD) to be exact.
One of the folks who aren’t too happy with the price of the system is infamous analyst Michael Pachter. He was recently interviewed by the folks over at GamingBolt, and during it he shared some fairly harsh words. According to Pachter, the Xbox One X is simply “too expensive” for the current market and thinks that people find spending $300 or $400 on a console to be better. He pointed to the PS3’s initially high price of $600 as evidence that cheaper systems are more well-received.
“So I think $500 is a lot, and I think we’ve been trained since at least the PlayStation, and probably since before then – I don’t actually remember what the NES was at launch – that $300 is the price point people are willing to pay. And Microsoft started this $400 price point with the Xbox 360, Sony of course made the mistake of pricing the PS3 at $600. PS4 was $400,and quickly dropped to $300… I just think people are willing to pay $300 for a console, but not $500, $500 is way too much. And given that you frequently see Xbox One S and PS4 Slim discounted to $249, or at $299 with a good game bundled, the perceived price for both is $250, regardless of the sticker price.”
At $500, the Xbox One X is $100 more than the PS4 Pro and $200 more than the Nintendo Switch. Pachter is right with the Xbox One S/PS4 Slim regularly going as low as $250, which would make the price difference between them and the Xbox One X an equal $250.
Phil Spencer, the Head of Xbox has admitted that he’s expecting Xbox One S sales to be higher than the Xbox One X. Of course, only time will tell but it does seem likely that the $250 Xbox One S will manage to beat out its more expensive brother. As Pachter pointed out later in the aforementioned interview, the X is targeted at consumers who own 4K TVs, which basically requires an extra investment unless they already own one (which most don’t).
Will you be picking up an Xbox One X when it launches on November 7th?