Ever since the reveal of the Xbox One, there’s been torrents of controversy wound in with fervent speculation, rules and stipulations that, to many, were seen as limitations on the machine. These negative facts have only been highlighted by statements like the one below, from Xbox’s president of interactive entertainment, Don Mattrick.
“…fortunately, we have a product for people who aren’t able to get some form of connectivity, it’s called Xbox 360.”
Despite these gaffes and dissent among fans, Microsoft stands behind their machine, and is banking on some of their dedicated fan base, on-the-fence consumers hesitant to turn to Sony, and now, the true value of the Xbox One.
The $499 price point revealed at E3, while high, wasn’t necessarily good or bad, it just was for many gamers. That is until the PS4 was revealed at $399, giving the Xbox One a run for it’s money, quite literally.
There is no doubt that gaming consoles are money pits for the first few years after release, and Mattrick went on the offensive recently with Bloomberg TV, by reinforcing that fact.
“We’re over-delivering value against other choices I think consumers can get. Any modern product these days, you look at it: $499 isn’t a ridiculous price point. We’re delivering thousands of dollars of value to people, so, I think they’re going to love [the console] when they use it.” – Mattrick
Coming in $100 higher than competition can leave a big dent, but not lose the console war. (See PS3 vs. Xbox 360) It’s not, however, going to help a console that’s already being out-pre-ordered two-to-one against the PS4.
The real issue here is that Mattrick didn’t go into detail or itemize what in the Xbox One would cost “Thousands of Dollars” for Microsoft. Although it wouldn’t shock to cost a couple hundred dollars in losses per console, it’s hard to tell at this point what, if anything warranted the claim. We may see more in the coming months, but until then this seems to be just another ploy, albeit possibly rooted in truth, by Microsoft to make up ground lost in recent weeks.