The Xbox Series S is currently only very slightly cheaper than the far more powerful PS5 — is Microsoft okay with this?

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During their Days of Play event, Sony has lowered the cost of all its consoles by $50 each. Interestingly, the standard Series S is now just $20 cheaper than the PlayStation 5 Digital Edition. However, the 1TB version of the Series S actually costs $30 more than the PlayStation 5. This means that you can buy a PlayStation 5 and a 24-pack of Mountain Dew at a lower price compared to an Xbox Series S. In other markets like the UK and EU, this price difference is even more significant.

As a tech enthusiast, I find myself asking: Given your substantial financial resources, Microsoft, how did this slip through the cracks?

Currently, it’s crucial to grasp that the PlayStation sale is short-term and concludes on June 11th. This announcement follows closely on the heels of Microsoft increasing their console prices due to the ongoing tariff dispute. With one company raising costs and the other reducing them, it can be confusing trying to make sense of the situation.

In my exploration as a researcher, I’ve noticed that Sony has been aggressively promoting its sales event, with advertisements popping up everywhere on platforms like Reddit and various social media outlets. On the other hand, Microsoft seems to have sparsely offered official deals on their consoles, and their marketing efforts for these devices have been relatively subdued compared to Sony’s strategy.

On May 1st, Microsoft subtly disclosed through a help page that they had made certain changes, acknowledging that these adjustments may be difficult due to the complexities of current market conditions and escalating development costs. Moving forward, their primary objective is to provide more avenues for playing games on various devices and ensuring a worthwhile experience for Xbox players.

Consequently, the costs for their product lineups have gone up. However, due to the PlayStation Days of Play sale, Xbox’s latest pricing has been severely discounted.

  • Xbox Series S (512GB): $379.99 — Xbox Series S (1TB): $429.99
    • PlayStation 5 Digital Edition Black Ops 6 Bundle (1TB): $399.99
  • Xbox Series X (1TB): $599.99
    • PlayStation 5 Disc Edition Black Ops 6 Bundle (1TB): $449.99
  • Xbox Series X (2TB): $729.99
    • PlayStation 5 Pro (2TB): $649.99

Additionally, it’s worth noting that the upcoming release of the Switch 2 next week, priced at $450, is expected to ignite fierce competition during Nintendo’s launch period as well.

When examining the contrasting viewpoints of these companies, it’s important to consider various perspectives.

Analyzing the divergent stances of these firms requires looking at things from multiple viewpoints.

When considering Microsoft, it’s important to take into account their emphasis on “Xbox” in relation to their hardware approach. Essentially, they’re more focused on the fact that you’re playing their games, rather than where exactly you choose to play them. This is evident from their recent announcement that DOOM: The Dark Ages attracted over 3 million players, regardless of the platform.

However, it’s important to note that Sony’s business strategy primarily revolves around its PlayStation consoles. While PlayStation does release some of its games simultaneously with Steam, this represents only a small part of its expanding platform.

As an analyst, I can say that I don’t observe the practice of releasing every exclusive game simultaneously on their own console and Windows PC. Additionally, unlike the current console manufacturer, they do not distribute premium, exclusive titles like Gears of War and Forza Horizon onto other platforms. This trend is likely to continue considering these games are all high-selling titles.

It appears that I’m interpreting this as follows: Microsoft, could you clarify your actions? It seems like you’re deliberately lowering the worth of your console while simultaneously raising the cost to enter your ecosystem. At present, Sony is the only one making it easiest for gamers to access dedicated hardware to play some of your games. Is this your intention?

In light of tariffs currently being held at reduced levels but not yet back to their pre-2025 state, one might ponder whether Microsoft could have postponed its price hikes, as Sony did and are now planning to decrease their prices prior to a possible increase, according to their financial report. Additionally, the tariff issue was made more complex today when a U.S. judicial panel ruled that Trump’s tariffs exceeded the President’s power. It’s possible that the Supreme Court may need to intervene to settle this dispute as well.

In that particular universe, how does Microsoft manage its Xbox consoles, which had their prices adjusted due to tariffs, prior to delving into the potential increase of game prices up to $80?

Reducing Microsoft’s hardware pricing strategy might jeopardize its largest console market potential in several years.

Given the immense excitement surrounding the latest Grand Theft Auto VI trailer and fans reaching an all-time high in anticipation, this moment seemed ideal for promoting the Series S as the most accessible entry point. However, if Microsoft persists in allowing Sony to maintain control and value, we may find ourselves repeating the Xbox One 2013 scenario, where users see little incentive to join the Xbox ecosystem.

Recently, I was prepared to compose an article discussing how the Series S serves as the most affordable option for prospective PC gamers, temporarily satisfying them until its release on Windows. However, my reasons for writing this have now vanished. Even when the PlayStation 5 Digital Edition resumes its $449 price, the base console edition of Xbox will only cost $70 more, not the comparatively underpowered machine that is the Xbox Series S.

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2025-05-29 21:09