Microsoft has revealed how much its next flagship gaming console will cost, choosing to do so before its rival Sony. There has been a lot of speculation that the Xbox Series X or PlayStation 5 would be the first to be evaluated.
The last time,
Sony basically beat its rival after waiting to be second.
However, one expert said the Japanese firm would be heavily pushed to do it again given its finances.
Microsoft tweeted that the new machine would cost £ 449 in the UK, € 500 in Europe and $ 499 in the US.
And in a surprise move, he added that EA's game subscription service would be bundled with their own Xbox Game Pass Ultimate, giving members a wider range of titles to choose from.
The announcement came a day after the US tech giant revealed that a less powerful second version of the next-gen console, called the Xbox Series S, would cost £ 250.
"This is an aggressive price for the technology included in the X series," Piers Harding-Rolls of Ampere Analysis told the BBC.
"And Microsoft needs to feel confident about the offer in deciding to go first."
He added that in theory this gave his competitor a chance to steal an advantage by choosing a lower price again.
In 2013, Sony revealed that the base PS4 would cost 80 pounds less than the Xbox Series One equivalent, hours after Microsoft revealed its launch plans, helping Sony claim it offers better value.
But the analyst said it was unlikely to repeat the trick as his recent performance gave him less wiggle room.
Microsoft's full-year profit was 13% higher than the prior period at $ 44.3 billion. Its Xbox division accounted for only 9% of its sales.
In contrast, Sony's net profit shrank 36% to $ 5.4 billion. And he's more dependent on his PlayStation unit, which generated 24% of his sales.
The PlayStation 4 outperformed the Xbox One sales by a good margin.
But Mr Harding-Rolls suggested Microsoft had "deeper pockets" to invest this time around, and should also benefit from its Games Pass subscription, including successful new first-party releases. Sony's PlayStation Now equivalent is limited to older titles.
Microsoft said pre-orders for both of its new consoles will begin on September 22.
This puts pressure on Sony to disclose their prices and do the same to help secure sales at a time when the coronavirus is causing uncertainty for consumers' personal finances.
