Xbox One to cost $400, PS4 to cost $350: Pachter

Xbox One to cost $400, PS4 to cost $350: Pachter
Microsoft's Xbox One console is likely to cost around $400 at launch, while the PS4 will have a $350 price tag, according to Wedbush Securities analyst Michael Pachter.

His predictions are based on bill of materials figures, which he reports at $275 for the PS4 and $325 for the Xbox One console. Analysts have expected that the next generation consoles will cost less than previous consoles. When the Xbox 360 launched in 2005, it was available for $300 or $400 depending on the model.



A year later, the PS3 console sold for $500 or $600 based on the model.

While the Xbox One is likely to coat more from the shelf than the PS4, Pachter's note points out the likelihood of a subsidized model too.

"We believe the ability to watch live TV from a cable, telco, or satellite set-top box through Xbox One could entice an MSO to drive subscriptions through a subsidised box in exchange for a multi-year contract," Pachter said.

"The 'always connected' requirement for the Xbox One likely means that a broadband connection will be required, suggesting to us that ISPs may have an incentive to offer a subsidy as well."

Written by: James Delahunty @ 4 Jun 2013 21:48
Tags
PS4 Xbox One
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  • 25 comments
  • joebloe12

    Anyone wanna BET that any box that supports NO USED GAMES is not doomed for failure?

    4.6.2013 23:39 #1

  • Mysttic

    All i know is $400 for Xbox One is still a ripoff given the negatives. $350 for PS4 will make Wii-U sales cripple at it's current price model.

    5.6.2013 07:24 #2

  • Uprisingrev

    Originally posted by joebloe12: Anyone wanna BET that any box that supports NO USED GAMES is not doomed for failure? Joe,

    Neither console will fail.They are not blocking used games, they are simply forcing companies like Gamestop to offer the console and game developers a cut of the action. Get off of your high horse and accept change. I believe both consoles will be very successful. I have come to this conclusion based upon previous success and the massive followings for both Xbox and Playstation.

    5.6.2013 08:11 #3

  • Ryoohki

    Originally posted by Uprisingrev:

    Joe,

    Neither console will fail.They are not blocking used games, they are simply forcing companies like Gamestop to offer the console and game developers a cut of the action. Get off of your high horse and accept change. I believe both consoles will be very successful. I have come to this conclusion based upon previous success and the massive followings for both Xbox and Playstation.
    Are you some kind of company shill? Console and game developers got their cut when the game was first sold. Why should they get even more profit off of the SAME copy of the game being resold or given to a friend?

    I'm not too worried about this sort of thing to begin with. I'm sure the community will fix it for those of us who buy a console with such an unfriendly scheme built into it.

    5.6.2013 09:33 #4

  • bhetrick

    Originally posted by Uprisingrev: Originally posted by joebloe12: Anyone wanna BET that any box that supports NO USED GAMES is not doomed for failure? Joe,

    Neither console will fail.They are not blocking used games, they are simply forcing companies like Gamestop to offer the console and game developers a cut of the action. Get off of your high horse and accept change. I believe both consoles will be very successful. I have come to this conclusion based upon previous success and the massive followings for both Xbox and Playstation.
    Really? Your answer to anti-consumer tactics is to "accept change"?

    Good job at being part of the problem and not part of the solution.


    5.6.2013 10:06 #5

  • bhetrick

    Quote:Microsoft's Xbox One console is likely to cost around $400 at launch, while the PS4 will have a $350 price tag, according to Wedbush Securities analyst Michael Pachter.



    His predictions are based on bill of materials figures, which he reports at $275 for the PS4 and $325 for the Xbox One console.

    So these launch consoles are going to sell at a profit? Isn't that "historically" backwards?

    5.6.2013 10:09 #6

  • Justoneguy

    $400 for Microsoft's new spybox, I don't think so. I am really curious for them to say exactly how they'll use the information collected by kinect in their "marketing research."

    5.6.2013 13:54 #7

  • Interestx

    To the tune of Roy Castle's 'Record breakers' theme

    # speculation, oh ho speculation,
    Speculation it's what you need.
    If you want to bash the xbox
    cos you favour Sony's (almost identical) chops
    we-ll speculation is what you need

    If you want to be a really biased fanboy.

    Yeah!#


    5.6.2013 15:32 #8

  • Justoneguy

    Originally posted by Interestx: To the tune of Roy Castle's 'Record breakers' theme

    # speculation, oh ho speculation,
    Speculation it's what you need.
    If you want to bash the xbox
    cos you favour Sony's (almost identical) chops
    we-ll speculation is what you need

    If you want to be a really biased fanboy.

    Yeah!#

    I don't really see anyone in this thread acting like a "fanboy." I have had both versions of the xbox, 3 if you include the slim. What I do see is people concerned with DRM and anti-consumer tactics, which can you blame them from the announcements made by Microsoft so far? Maybe your right and we'll see none of this, and both these new consoles will be the greatest thing since the invention of the wheel.
    Microsoft executives have said they "may" use some data collected with the kinect for marketing research, as if we don't have enough targeted advertising already. I'm just concerned it might be abused.
    As you said however a lot of this is just speculation, maybe they're testing the waters a bit. It will be interesting to finally have the answers, and see what Microsoft's EULA for this new box contains, Sony's as well.
    With the way things are, I think it would be naive of anyone to trust any corporation to have a camera and a mic in your home that is always connected to the internet. And yes I have also read that you might have the ability to turn the kinect functions off.

    5.6.2013 16:08 #9

  • bobiroc

    Well seeing as Sony stated they will not lose money on this console and they also cannot afford to lose money like they did with the PS3 I think these predictions in prices are way low. Also considering the PS4 seems to have the more expensive hardware inside I doubt it will be cheaper than the XBOX.

    I could be wrong but I still expect them both to come in around the $500 mark.

    AMD Phenom II 965 @ 3.67Ghz, 8GB DDR3, ATI Radeon 5770HD, 256GB OCZ Vertex 4, 2TB Additional HDD, Windows 7 Ultimate.

    http://www.facebook.com/BlueLightningTechnicalServices

    5.6.2013 20:52 #10

  • bobiroc

    Originally posted by bhetrick: Quote:Microsoft's Xbox One console is likely to cost around $400 at launch, while the PS4 will have a $350 price tag, according to Wedbush Securities analyst Michael Pachter.



    His predictions are based on bill of materials figures, which he reports at $275 for the PS4 and $325 for the Xbox One console.

    So these launch consoles are going to sell at a profit? Isn't that "historically" backwards?
    I do not know how he can say the PS4 costs less to build. The GDDR5 Ram alone has to be 3-4 times the cost alone compared to DDR3. Then it seems to have a more powerful GPU on top of that.


    AMD Phenom II 965 @ 3.67Ghz, 8GB DDR3, ATI Radeon 5770HD, 256GB OCZ Vertex 4, 2TB Additional HDD, Windows 7 Ultimate.

    http://www.facebook.com/BlueLightningTechnicalServices

    5.6.2013 20:55 #11

  • Interestx

    Originally posted by Justoneguy: Maybe your right and we'll see none of this Is all I'm saying.
    Right now nobody knows...and Sony are just as likely as Microsoft to 'collect' info 'for marketing purposes'.

    Originally posted by Justoneguy: It will be interesting to finally have the answers, and see what Microsoft's EULA for this new box contains, Sony's as well. Precisely....what are the bets both are extremely broad in their scope (as seems current practice) and both 'may' allow both companies to be intrusive, should they choose to operate that way?

    Even though they probably both won't in practice.

    Originally posted by Justoneguy: With the way things are, I think it would be naive of anyone to trust any corporation to have a camera and a mic in your home that is always connected to the internet. You really don't think you'll be able to turn it off or disconnect from the net when you aren't using it?

    Originally posted by Justoneguy: And yes I have also read that you might have the ability to turn the kinect functions off. So why choose to speculate otherwise?
    The instant anyone seriously thought Microsoft were spying on people in the lurid manner some seem determined to believe likely the outcry would put a stop to it instantly.

    Mind you it is all interesting distraction...
    from what is really going on with the NSA & phone records.

    (but no doubt there will be plenty wishing to dress that up in the usual 'left/right' nonsense & distract themselves)

    5.6.2013 22:21 #12

  • joebloe12

    Originally posted by Uprisingrev: Originally posted by joebloe12: Anyone wanna BET that any box that supports NO USED GAMES is not doomed for failure? Joe,

    Neither console will fail.They are not blocking used games, they are simply forcing companies like Gamestop to offer the console and game developers a cut of the action. Get off of your high horse and accept change. I believe both consoles will be very successful. I have come to this conclusion based upon previous success and the massive followings for both Xbox and Playstation.
    Why don't you get off YOUR HIGH HORSE and accept the news from microsoft that they have so far gave that they are anti-consumer?

    If you are so crazy as to accept whatever comes down the pipe without demanding that companies carter TO THEIR CUSTOMERS FIRST, then you deserve what you get.

    Get you head out of the sand. If companies like Microsoft are allowed to do this, it is just a matter of time before games are played "once only on ONE player".

    Try to use your brain for something other than a hat rack, you may find out what I am saying is true.

    5.6.2013 22:38 #13

  • A5J4DX

    wow!

    5.6.2013 23:01 #14

  • Justoneguy

    Originally posted by Interestx:
    You really don't think you'll be able to turn it off or disconnect from the net when you aren't using it?


    If I felt I had to disconnect it from the internet while not in use, why on earth would I want it connected while in use? That's the point, quit being so naive. If your comfortable with their cameras and mic's in your house, great. If your comfortable with what they have announced thus far, more power to you buddy. A lot of this isn't just speculation like you keep saying, it's what they have said they plan to implement.

    6.6.2013 00:18 #15

  • molsen

    I guess I will wait until 1st quarter '14 before a decision. I want these things torn apart and see what the scoop really is. I think these companies are pushing the envelope to see what they can get away with.

    I have always liked the PS series, I also do not mind the 360 that much, I really got it for kinect for my daughter to play sports games.

    I really do not like change in terms of using a game system. I have had game systems since early 80s and do not see the need to be connected to the "net" everytime. However, I know the system is connected when it is on and I'm not naive it is talking, heck my tv uses wi-fi.

    6.6.2013 06:35 #16

  • Interestx

    Originally posted by Justoneguy:
    If I felt I had to disconnect it from the internet while not in use, why on earth would I want it connected while in use?
    Because turning it off & disconnecting it from the net (if that really is your concern) entirely negates the issues you say you are worried about.
    Quite why it should be seen as so difficult to do or a major inconvenience is up to you & how you see things.

    6.6.2013 16:32 #17

  • jookycola

    Originally posted by Uprisingrev: Originally posted by joebloe12: Anyone wanna BET that any box that supports NO USED GAMES is not doomed for failure? Joe,

    Neither console will fail.They are not blocking used games, they are simply forcing companies like Gamestop to offer the console and game developers a cut of the action. Get off of your high horse and accept change. I believe both consoles will be very successful. I have come to this conclusion based upon previous success and the massive followings for both Xbox and Playstation.
    HaHa i was all ready to blast this fool then I saw "Newbie" next to his name and realized he's probably corporate ringer sent in to spin. If he's not? he's easily the most ignorant person I've heard in a long long time.



    6.6.2013 19:08 #18

  • bobiroc

    Originally posted by jookycola:

    HaHa i was all ready to blast this fool then I saw "Newbie" next to his name and realized he's probably corporate ringer sent in to spin. If he's not? he's easily the most ignorant person I've heard in a long long time.

    Maybe he is so young he doesn't remember when gaming consoles used to be all about the games. Something Microsoft seems to have forgotten.

    AMD Phenom II 965 @ 3.67Ghz, 8GB DDR3, ATI Radeon 5770HD, 256GB OCZ Vertex 4, 2TB Additional HDD, Windows 7 Ultimate.

    http://www.facebook.com/BlueLightningTechnicalServices

    6.6.2013 19:10 #19

  • 1nsan3

    the solution, is to listen to the gamers when building your next gen console, and stop with the HBO, and CBS, who cares about tv, i already have cable, and movie channels, why would i want to pay more and watch it on my xbox, stupid.

    but anyways,

    the xbox needs more usablity,, more accesories, freedom, more usb ports, not a gay ass keyboard that attatches, to the controller.

    and stop with the motion controlled racing games, who wants to hold there hands up for 2 hours or more, playing racing with a friend, and yet all you control is the steering wheel, and not the gas,,, think devs, think!!!!

    u sit your ass on the couch and see how long you can hold your arms in the air... then remember that a kid has a less attention span than you. lol

    6.6.2013 19:21 #20

  • Justoneguy

    Originally posted by Interestx: Originally posted by Justoneguy:
    If I felt I had to disconnect it from the internet while not in use, why on earth would I want it connected while in use?
    Because turning it off & disconnecting it from the net (if that really is your concern) entirely negates the issues you say you are worried about.
    Quite why it should be seen as so difficult to do or a major inconvenience is up to you & how you see things.
    Your obviously a MS fanboy, so I won't waste too much more of my time. I don't like their anti-consumer direction and will no longer support the xbox like I have in the past, not for $400, or $1.
    I feel if you buy a game you should own it. Period. You should then be able to sell or trade the game at your discretion, without the need to give anyone else an additional cut from the transaction. And I certainly don't need anymore targeted advertising because a camera and mic connected to the internet is "judging" my reactions. It would be quite simple to unplug it when not in use, it's not a convenience thing. That's where you seem to have a mental block, if I don't trust what information it's gathering I wouldn't want it in my home to begin with.
    I don't know how much clearer I could make it but you just can't seem to grasp what I'm saying, every time you respond I can tell you don't understand my viewpoint, or are just trying to blur it. You being a fanboy, my guess would be that your trying to blur it.

    7.6.2013 06:38 #21

  • adre02

    joebloe12, allow me to ask one question. What has complaining about the way a company runs its business (when concerned with Microsoft, Sony, or Nintendo) done for the masses over the previous 12 years?

    Nothing, absolutely, nothing at all. Afterdawn has been around for yeaaaaaars, other websites has also and these discussions have gone on to a point of nausea and these companies will and always have done pretty much what the hell they want with their products...

    You may say that you will not accept change; however, you not accepting change will not change anything unless you and 90% of the potential consumers say they will not buy either system. That is not going to happen because the majority of video gamers cannot afford to build out a supremely better computer system or they do not have the knowledge to do so...

    So, yes, continue to talk about how you will not accept change but that will not change what either of these companies do. Me, on the other hand, have gone the way to just putting money back and building out a computer system that rivals both of these so I am good to go for now.

    This is superman

    10.6.2013 11:15 #22

  • adre02

    Originally posted by Justoneguy: Originally posted by Interestx: Originally posted by Justoneguy:
    If I felt I had to disconnect it from the internet while not in use, why on earth would I want it connected while in use?
    Because turning it off & disconnecting it from the net (if that really is your concern) entirely negates the issues you say you are worried about.
    Quite why it should be seen as so difficult to do or a major inconvenience is up to you & how you see things.
    Your obviously a MS fanboy, so I won't waste too much more of my time. I don't like their anti-consumer direction and will no longer support the xbox like I have in the past, not for $400, or $1.
    I feel if you buy a game you should own it. Period. You should then be able to sell or trade the game at your discretion, without the need to give anyone else an additional cut from the transaction. And I certainly don't need anymore targeted advertising because a camera and mic connected to the internet is "judging" my reactions. It would be quite simple to unplug it when not in use, it's not a convenience thing. That's where you seem to have a mental block, if I don't trust what information it's gathering I wouldn't want it in my home to begin with.
    I don't know how much clearer I could make it but you just can't seem to grasp what I'm saying, every time you respond I can tell you don't understand my viewpoint, or are just trying to blur it. You being a fanboy, my guess would be that your trying to blur it.
    I find it funny that you have a dislike toward that person in your comments because he likes microsoft xbox? I see that as a very pathetic way to waste your energy; much better ways to waste it if you are going to do that.

    This is superman

    10.6.2013 11:20 #23

  • adre02

    Originally posted by 1nsan3: the solution, is to listen to the gamers when building your next gen console, and stop with the HBO, and CBS, who cares about tv, i already have cable, and movie channels, why would i want to pay more and watch it on my xbox, stupid.

    but anyways,

    the xbox needs more usablity,, more accesories, freedom, more usb ports, not a gay ass keyboard that attatches, to the controller.

    and stop with the motion controlled racing games, who wants to hold there hands up for 2 hours or more, playing racing with a friend, and yet all you control is the steering wheel, and not the gas,,, think devs, think!!!!

    u sit your ass on the couch and see how long you can hold your arms in the air... then remember that a kid has a less attention span than you. lol
    This comment makes more sense than some in here. At least, from a perspective of where you are going with it. You are talking about the greatness or lack there of toward the game, good conversation piece. Much better than just crying about DRM restrictions. The games, in general, have pretty much sucked IMO for the past 6 years on both systems. There are some great games but many are just poor.

    This is superman

    10.6.2013 11:23 #24

  • Jemborg

    Originally posted by bobiroc: Originally posted by bhetrick: Quote:Microsoft's Xbox One console is likely to cost around $400 at launch, while the PS4 will have a $350 price tag, according to Wedbush Securities analyst Michael Pachter.



    His predictions are based on bill of materials figures, which he reports at $275 for the PS4 and $325 for the Xbox One console.

    So these launch consoles are going to sell at a profit? Isn't that "historically" backwards?
    I do not know how he can say the PS4 costs less to build. The GDDR5 Ram alone has to be 3-4 times the cost alone compared to DDR3. Then it seems to have a more powerful GPU on top of that.

    Throw in the cost of the kinnect too Bob.

    Factor in too the X1 has a custom A-I-O chip with ram embedded in it plus some on-chip bespoke components to get around bandwidth bottlenecks... ironically Sony's decision to go for a simpler setup with DDR5 and more GPU cores will be cheaper (in the long run at least) and more effective. Sony were only going to put in 4GB of DDR5 ram initially but decided at the eleventh hour to double it's size... perhaps DDR5 is predicted to fall in price in the near future, perhaps it has already.

    Its a lot easier being righteous than right.


    10.6.2013 13:54 #25

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