The New York Giants without Saquon Barkley have a better chance of winning the Superbowl this year than Microsoft does of beating Sony.
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4ch: MS is going to announce $50 price reduction on both XSX/XSS tomorrow
The New York Giants without Saquon Barkley have a better chance of winning the Superbowl this year than Microsoft does of beating Sony.
massivekettle
Member
Eh, that’s not how it works. This is all about capturing consumers attention with a better priced device, like Sony did with the PS4. Moreover, we’re in a middle of a recession so consumers are likely to be have a more price-sensitive demand.
If they can get people to subscribe to Microsoft services, it’s a win in the long run in exchange for short term pain.
Besides, Microsoft would have allocated Phil Spencer a set budget with which to build the newgen project, so this isn’t losing money to shareholders (yet), unless MS falls well short sales-wise.
tryDEATH
Member
The question still stands did people assume the set price was at $400, because Sony was showing weakness and fear of being unable to compete with the Xbox One. No, no one did, because it would be a dumba*s reason to price a console based on that.
Everyone sets the price of their consoles and goes with it. The only difference with MS, if they change it would be the marketing strategy, which means they always intended that price point but lead with a place holder price and even indicated it was the RRP price.
The game of chicken when revealing the price of consoles has be a mainstay for the last couple of generation and was this generation as well this would just be another step further in this game between Sony and MS.
GaviotaGrande
Banned
Sorry, I don't speak sports.
McCheese
Member
Yes, both GameCube and original Xbox had £50 knocked off just weeks before launch due to stuff competition. I think GameCube was literally like 10 days before release.
VlaudTheImpaler
tl;dr
Roronoa Zoro
Gold Member
If they were upfront about it maybe I'd give them some credit something like "due to competition...we feel we should offer a better value"
If they try to frame this as "oh we love our consumers so much were gonna do this cause we were always gonna and we love you guys!" Then it'll be so damn dishonest and eye roll worthy
Roronoa Zoro
Gold Member
If they'd have set it lower or lower it in a few months that would be a different story. This just says to me that without Sony they would have charged us out the assYes, I just could not forgive them if they... Lowered the price for me...
saintjules
Member
To play along here, it would be funny if they did say $50 discount or even an instant rebate for the people who pre-ordered a Console. Everyone else would be SOL.
VlaudTheImpaler
tl;dr
Uh, that's how business works dude. Do you really think Sony is selling their box at the absolute lowest they can if they tried? Pretty sure both of these manufacturers are already losing money on their hardware. Businesses are going to try to reduce as much loss as they can, or in terms of profitable hardware, be as profitable as possible while still being at an attractive price point to consumers.
IF this is true, and I personally doubt it is, it would seem MS decided, or had known all along, that they can take more of a hit on hardware and make it up elsewhere, either now, or in the future if betting on adoption.
Either way, it takes some real mental gymnastics to paint a price reduction in a bad light...
Kagey K
Banned
If you knew who he was parodying it would make total sense.So funny
just ramblings that make zero senseNo one is laughing with you they are laughing at you
It was spot on.
THE:MILKMAN
Member
When MS did the £100 reduction with Xbox like a month after release they gave those who bought at launch a goodie bag of stuff worth even more.
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MastaKiiLA
Member
I seriously doubt it. While good for gamers, it devalues your platform when you make hasty price cuts. Lowballing is a strategy for newcomers, and industry disruptors. Our company came in at a super-low price for the market, something like 10-20% of the competition. However, ours is/was a fledgling market, and one where the early market leaders had set incredibly high prices aimed at the enterprise-level customers. We wanted to target the everyman, and our CEO crunched the numbers and found a pricepoint where we could sustain internal growth and development, while appealing to single-owner operations.
It worked. We scooped up a ton of users, and became a major player in the market. We then increased our pricepoint, once we'd built up the feature set of our base product, and focused our revenue growth on a premium addon strategy, where we broke out certain functionality into separate apps, and charged them at competitive prices, but only 80-90% of the competition, instead of huge cash we did with the base app. Users have complained about the pricing of certain products, but we maintain the stance that going too low devalues the product. We're offering every bit the value of our competition, and more in many cases, so why should we cut into our revenue stream? If we lag behind, it's because we're not innovating enough.
Microsoft is not a newcomer, and going into their 4th iteration, can hardly consider themselves a disruptor. They're pretty much part of the establishment. Cutting a price they announced only weeks ago suggests that they don't think they can compete on games. They need a price advantage in order to bring the fight to Sony. True or not, there's questionable long-term gain in being the budget option in a tech market. Given development cycles, and Sony's ability to secure big exclusives early in the generation, they'd be banking heavily on just that, price, as the means of swaying gamers over to their side. But should that fail to fulfill the mission, you're now bleeding money on razors that are considered the cheaper product, while still lacking fancy blades to help recoup that loss.
I feel like Sega tried this in the past, and it blew up in their face, and hastened their demise. I'm not certain this would be the wise decision, but I fortunately don't have to make such strategic calls. IMO, it only makes sense if the Xbox Series is a do or die effort at the market by the parent company. If MS basically said, make it work, or we cut off the cash. That's the only way I can understand what on the surface would be an act of desperation. I don't believe this rumor.
It worked. We scooped up a ton of users, and became a major player in the market. We then increased our pricepoint, once we'd built up the feature set of our base product, and focused our revenue growth on a premium addon strategy, where we broke out certain functionality into separate apps, and charged them at competitive prices, but only 80-90% of the competition, instead of huge cash we did with the base app. Users have complained about the pricing of certain products, but we maintain the stance that going too low devalues the product. We're offering every bit the value of our competition, and more in many cases, so why should we cut into our revenue stream? If we lag behind, it's because we're not innovating enough.
Microsoft is not a newcomer, and going into their 4th iteration, can hardly consider themselves a disruptor. They're pretty much part of the establishment. Cutting a price they announced only weeks ago suggests that they don't think they can compete on games. They need a price advantage in order to bring the fight to Sony. True or not, there's questionable long-term gain in being the budget option in a tech market. Given development cycles, and Sony's ability to secure big exclusives early in the generation, they'd be banking heavily on just that, price, as the means of swaying gamers over to their side. But should that fail to fulfill the mission, you're now bleeding money on razors that are considered the cheaper product, while still lacking fancy blades to help recoup that loss.
I feel like Sega tried this in the past, and it blew up in their face, and hastened their demise. I'm not certain this would be the wise decision, but I fortunately don't have to make such strategic calls. IMO, it only makes sense if the Xbox Series is a do or die effort at the market by the parent company. If MS basically said, make it work, or we cut off the cash. That's the only way I can understand what on the surface would be an act of desperation. I don't believe this rumor.
LavitzSlambert
Member
Not going to happen for reasons I’m sure better described in the hundreds of posts before. That would be suicide for Microsoft.
Roronoa Zoro
Gold Member
Then just make it $250 off the bat
DESTROYA
Member
wipeout364
Member
I did notice the Xbox series X was priced at 599 in Canada on Microsoft’s website which is lower than it should given the current exchange. It should be 650 to 700 based on recent exchange rates. I was surprised and certainly not complaining.
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VlaudTheImpaler
tl;dr
Off the bat? It hasn't even launched yet. No one has bought it. No one has even pre ordered it. I have no clue what you are trying to say? That they are playing games with Sony? Sure. Companies do stuff like this all the time. What difference does it make to you if it actually benefits consumers? Or are you even getting an Xbox?
Roronoa Zoro
Gold Member
It's worse that no one has bought it yet. This is like when they had to change their always online no used games thing before release. Don't do things because you have to. Do things because its an investment and you think it'll be mutually beneficial. It being public makes this worse. If they had just not announced price and come out at $250 I would be fine with it
MiguelItUp
Member
Interesting, I was unaware of this. I just don't see this happening for a console. But I suppose weirder things have happened!AMD did something like that not so long time ago
AMD cuts Radeon RX 5700 and 5700 XT prices ahead of July 7 launch
AMD knocked $30 off the Radeon RX 5700 and $50 off the Radeon RX 5700's prices mere days before launch, after Nvidia launched the GeForce RTX Super series.www.pcworld.com
CatLady
Selfishly plays on Xbox Purr-ies X
The way you keep going on about this I can see it really has you upset. So are you even buying a Series X/S????
Revolutionary
Member
I hope this is true. Not because I want to buy one(lol), but because I want to see how Xbox fanboys are going to justify it after all the "hurr durr Sony got spooked" bullshit lol
AllBizness
Banned
More fanboy fantasies lol
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Roronoa Zoro
Gold Member
Why does that matter? It depends on the games and if they do this I'll wait for an official price cut on the X. If they get 5 exclusives I want then sure
As far as going on about it I'm only rebutting people who responded to my post. I haven't made a second independent post yet
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jimbojim
Banned
If this happens I called it.
They won't change it. It is MSRP. Estimated retail prices is based on taxes, margin etc. depends on country. Anyway, if you think that MS didn't announced anything like it....easy to google it :
Three New Xbox One Bundles Put the Biggest Blockbusters in Your Hands - Xbox Wire
The holiday season is right around the corner – and Xbox is leading the charge, with a trio of great system bundles that put this year’s biggest blockbusters right into your hands along with a shiny new Xbox One.
news.xbox.com
Yes, that bundle was 499 for preorder ( and rest of the two ) on Aug. 12th. But 50$ drop happened during holidays on Nov. 2nd, not during preorders that year
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Silver Wattle
Gold Member
The people buying this rumour are much too trusting of people with zero credibility, work up some scepticism and stop being a rube.
freefornow
Gold Member
Price cut by $50, no. Bundle 3 months Gamepass would be smarter.
trikster40
Member
If so, reeks of desperation.
alstrike
Member
They also have shareholders to answer to.
MarkMe2525
Member
Why is this a thread? From the screen grab, he is not stating he has inside info, more like he is making a bet.
MarkMe2525
Member
Let's just say this happens. Desperation or not, Timmy's mom could care less. All she would see is a $150 price difference.
DarkBatman
SBI’s Employee of the Year
But Timmy's mom won't be able to get one for the next few months, because the supplies will be limited and Xbox fans, gamers and scalpers will be quick to grab every available console away from "normal people".
Therefore lowering the price before the preorders start wouldn't make any sense: Both consoles will be sold out, so MS would just lose money for nothing.
MarkMe2525
Member
Ok... Let's say your scenario pertains to this situation (grabs the goalpost to help you shift them back some).
All consoles are sold out so Timmy's mom waits two months. All she still see's is a $150 price difference.
Edit: btw, I don't believe they are dropping the price. My scenario was hypothetical.
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PS4 was cheaper because of the Kinect
VlaudTheImpaler
tl;dr
Sweet Jebus. Imagine being upset at a price reduction... The only way I can understand you being upset about this... Is if you where never going to buy one with your own money and you wanted the competitions price to stay high...
Roronoa Zoro
Gold Member
Well I think I've explained why. If they had given no price and just come out initially at this price. No problem. If they had done a reduction in the spring. No problem
DarkBatman
SBI’s Employee of the Year
Would give Sony enough time to adjust the price as well (or present a special bundle/special offer).
AND MS would have lost a lot of money with all the preorders. A LOT of money.
Don't get me wrong: It would be awesome if MS would do something like that. I just don't think it's realistic in any way because it is tied to so many things (shareholders, possibilities to lower prices in the future) and so I won't even get my hopes up.
If they'd have been able to target such a low price, I think they would have done it right away.
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Justin9mm
Member
A year of Gamepass in Australia is $191.40. I would say a $50 price drop is cheaper.
DaleinCalgary
Member
What does Timmy's mom look like? pics needed
MarkMe2525
Member
Geez man.... it was a hypothetical situation. There is no need to play this "well what if this happens" game.
MarkMe2525
Member
Thicc
DarkBatman
SBI’s Employee of the Year
So I'm not allowed to use your hypothetical situation to come to my own conclusions/present my own thoughts?
If you don't want people to do that, stop playing the "Let's say this happens..." game.
DrumNBassDanTTV
Member
That's a load of rubbish, only reason they would lower the price is to be more competitive, nothing to do with confidence, lets be fair...Sony won this gen quite easy, MS need a decent start and solid sales, its gonna be a big ask as this gen was so good for Sony.
DrumNBassDanTTV
Member
No it wouldnt, it would be win/win for MS and consumers