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Xbox One is better value than the PS4 despite higher RRP, Microsoft says

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Xbox One
Xbox One: Good value?

Microsoft's head of Xbox has defended the higher RRP of the Xbox One console, saying it is providing good value for its customers.

Microsoft lost the PR battle with Sony at E3 due to a number of factors, one of which was the higher retail cost of the Xbox One compared with the new Sony PS4 - both of which will launch before Christmas.

The Xbox One will cost £429 in the UK, while the PS4 will go on sale for £349, but Don Mattrick says the extra features touted by his company's next-gen offering makes the £80 price gap inconsequential.

He also pointed out that the Xbox One's controversial RRP came in below the estimates of some analysts, but that's unlikely to cut the mustard with hoards of gamers weighing up which console to splash out on this Christmas.

He told Bloomberg TV at E3: "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, and I think they're going to love it when they use it."

Mattrick, the president of Microsoft's interactive services division that covers Xbox and Xbox Live, is referring to the built-in suite of entertainment and communications apps, cable TV integration and bundled-in new Kinect sensor, as well as the top notch library of games coming the device's way.

Mattrick's comments, made during an interview last week, come as analysts suggest the 'entire future of Xbox is in question' following the troubled showing at E3.

The price-tag combined with the confusing used games policy and required internet connectivity have, as we reported on Monday, left some questioning whether Microsoft's reign at the top of the console charts may be coming to an end.

David Cole, an analyst at DFC, suggested the company's strategy is "deeply flawed" and could have a "major negative impact" on the Xbox One launch in November.

Do you think Microsoft is heading for trouble later this year? Or is the Xbox One console, as Mattrick states, offering good value for money despite the higher price point?

Let us know in the comments below.

Via The Verge

itsallgonepearshaped

June 17, 2013, 7:22 pm

I think both Microsoft and Sony have dropped the ball. We're still in the middle of a global recession and they're asking people to fork out nearly £500 (once you factor in games, extra controllers and the need to purchase online membership etc...) for a new system, when there is still clearly life in the current gen. Nintendo's failure of their Wii U is a clear indicator of this (aside from the confusion around names / features etc...). The next gen console is dead, it just doesn't know it yet.

toboev

June 18, 2013, 6:48 am

certainly I can see no reason to replace an existing xbox 360. Any existing games become junk, any new games have limited second-hand value, I can't really buy second-hand games. Like you say, unless you have cash to burn, or you simply have to have the latest thing why bother?

Hamish Campbell

June 18, 2013, 7:25 am

Isn't this was Sony said at the release of the last generation of consoles?

Someone do a then-and-now comparison (I'm too lazy, so I'll just throw it out there :) )

chaosdefinesorder

June 18, 2013, 8:14 am

Even Microsoft themselves have said "if you don't have a constant internet connection, buy a 360"

HJB

June 23, 2013, 11:59 am

So you're charging an extra £80/$100 for a Kinect camera that not everyone will want/use, Cable TV integration that requires a separate Cable box anyway and a load of apps that, as far as I'm aware, are available on the PS4 as well?

Oh, and that's not even taking into consideration the fact that the PS4 will have its own apps and features that the Xbox One doesn't, as well as having slightly superior hardware. So even if they provided a model without the sensor for the same price as the PS4, it would still be worse value.

I see companies throw around the word "value" a lot these days. The PS4 is definitely of better value, however you look at it.

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