PS5 Price to Be Higher Than PS4’s Launch Price, Analysts Predict; Xbox Series X Likely to Match PS5 Pricing
The pricing of both the PS5 and Xbox Series X is expected to be similar if industry analysts are to be believed.
A new year means new predictions from industry analysts and with Microsoft and Sony launching their next-generation consoles during the holiday season, it will be interesting to see what this year will bring.
Much has been said and written about the pricing of the PS5 and Xbox Series X, and with recent rumors claiming that Microsoft’s console will be the most powerful console of the two, a higher price tag for the Series X appears likely. However, according to both IHS Market Technology analyst, Piers Harding-Rolls, and Katan Games analyst, Serkan Toto, both the PS5 and Xbox Series will have a similar price tag upon of $499 USD, meaning that Sony’s console will be priced higher than the PS4 launch price point of $399.
We’ve included the predictions from Piers Harding-Rolls and Serkan Toto down below.
I expect PS5 to outsell Xbox Series X in 2020, but for both platforms to sell more consoles at launch than both the PS4 and Xbox One did back in 2013. One new factor for this upcoming generation is the impact of backwards compatibility on brand loyalty and audience transition. I think we'll see less brand switching as a result. I also expect pricing of both PS5 and Xbox Series X to be similar, and I think it's more likely than not they will be higher than the PS4 launch price point of $399.
A high price point may prompt Microsoft to follow through with a dual-pronged product strategy and release a less powerful, cheaper version of its next-gen platform during the launch window. I don't expect Sony to follow this product strategy at launch so this approach would give Xbox more go-to-market flexibility although it would also add complexity around marketing and consumer education. Personally, I would wait to bring a cheaper version to market.
According to Serkan Toto, Microsoft will be keen to avoid the mistakes it made with the original Xbox One. As such, it’s expected to be at least as powerful as the PS5 and it will likely have the same price as Sony’s console. Upon launch, the Xbox One was only available with a 500GB hard drive, one controller and a pre-bundled Kinect sensor for $499. Microsoft later lowered the price of the base model to $349 and removed the Kinect from the bundle.
Both consoles will be a lot more similar to each other in terms of specs, pricing and features when compared to the last generation. Microsoft will likely avoid shenanigans like higher price (I expect $499 price tags for both), weaker specs, restrictions to used disc sales etc. I also expect no handheld versions, a PSVR 2, and only a single device (instead of a PS5 standard and Pro, for example) for both companies at launch.
What’s your take on the pricing of the next-gen consoles when they launch later this year? Will the PS5 and Xbox Series have the same price tag upon launch? Hit the comments down below.