Sections

Xbox One will be cheaper than PS4 this Christmas

Major US retailers will be knocking $50 off both the console and its various bundles

Microsoft is reducing the price of the Xbox One in the US by $50 this Christmas, giving it a lower price-point than the PlayStation 4 for the first time this generation.

The promotion, which starts on November 2, applies to any version of the console on sale, including those bundled with some of the biggest releases of the year. Both the Assassin's Creed: Unity and Sunset Overdrive bundles will be available for $349 without Kinect, which is $50 cheaper than a PlayStation 4 with no games.

According to a statement issued to Eurogamer, Microsoft has "nothing to announce at this time" regarding a similar promotion for other territories. The offer is available at most of the key retailers in the US, including Amazon, Target, Walmart, Best Buy and GameStop, and it is due to end on January 3, 2015.

Whether Microsoft will stick to that limited timeframe if the new price helps it to close the gap on PlayStation 4 in the US is an open question. The higher price of the Xbox One was seen as an impediment to its success even before the console launched, and Microsoft has taken some drastic steps to bring it more into line with the price of the PlayStation.

However, while the Xbox One has gathered some momentum since then, it has been lagging behind the PlayStation 4 in the US. In September, Sony's console had been outselling it for eight consecutive months.

This price-drop, and the praise being heaped upon Insomniac's Sunset Overdrive, could prove decisive in turning the tide.

Related stories

Microsoft using Xbox Adaptive Controller to rehabilitate US veterans

Company is working with Veteran Affairs to roll out device to medical centres

By James Batchelor

Microsoft Japan's four-day week trial boosts productivity by 40%

Company also noted paper and electricity consumption dropped significantly

By James Batchelor

Latest comments (9)

Aleksi Ranta Category Management Project Manager 5 years ago
The price will stay down as retail will only very reluctantly raise prices 3rd of january and as the market goes toward the slower
season (spring) the price increase would probably just offset the gains from christmas. But of course it all depends if Microsoft is going to hit their internal targets or not.
0Sign inorRegisterto rate and reply
Pete Thompson Editor 5 years ago
I can't understand why gamers outside of the U.S are more often than not overlooked with such things as price cuts and game release dates.. :(
2Sign inorRegisterto rate and reply
Rafa Ferrer Localisation Manager, Red Comet Media5 years ago
(Second attempt at commenting after the previous one appeared as empty.)

Pete, on top of the extra 50 this season (and the dollar to euro parity), we usually get less non-games related features from day one, i.e. added later in the cycle or even left out forever.

Edited 1 times. Last edit by Rafa Ferrer on 27th October 2014 7:24pm

0Sign inorRegisterto rate and reply
Show all comments (9)
James Brightman Editor, North America, GamesIndustry.biz5 years ago
Rafa, I've flagged the issue with our tech team, so hopefully it'll be fixed soon!
0Sign inorRegisterto rate and reply
Paul Jace Merchandiser 5 years ago
Both the Assassin's Creed: Unity and Sunset Overdrive bundles will be available for $349 without Kinect, which is $50 cheaper than a PlayStation 4 with no games.
So NOW they announce this. It's ok though, I spent $350 for my XBO Madden bundle in September and got Destiny as a free game. After I sold both of those games my XBO came out to be $250 so I suppose I shouldn't be too upset. Plus it's a really good deal for new buyers.
The higher price of the Xbox One was seen as an impediment to its success even before the console launched
I don't know why they went with a $500 launch price when Sony made it very clear with their huge fumble out of the gate a generation ago that most gamers were not comfortable paying that much for their console. $450 is the highest price they should have ever considered.

Still, I'm curious to see how sales go during the next few months. Do consumers go for the cheaper Xbox One with the free bundled games or do they go with the higher priced PS4 with no games?

Edited 1 times. Last edit by Paul Jace on 28th October 2014 2:33am

2Sign inorRegisterto rate and reply
Alfonso Sexto Lead Tester, Ubisoft Germany5 years ago
Do you think that maybe they expect SONY to be unable to lower the price to par with the XOne due to their financial situation?
0Sign inorRegisterto rate and reply
Richard Browne Head of External Projects, Digital Extremes5 years ago
I'd expect that's their ploy Alfonso ; Sony makes money across the globe on PS4, in the US its very marginal and their financial situation sort of demands they keep it as profitable as possible. This strikes me as a bit of a final hail mary from Microsoft ; if this doesn't work is a spin-off or sale of the Xbox division next?

Edited 1 times. Last edit by Richard Browne on 28th October 2014 3:33pm

0Sign inorRegisterto rate and reply
Nick Parker Consultant 5 years ago
Price may seduce some consumers but not all. With years of the life cycle remaining such early price reductions leave less time to operate an optimum price strategy as and when required; it could be risky if Sony may play the content and services card first leaving the price powder dry for later.
3Sign inorRegisterto rate and reply
Richard Browne Head of External Projects, Digital Extremes5 years ago
Totally agree Nick ; there's absolutely no impetus for them to do anything while momentum is so strongly on their side.
0Sign inorRegisterto rate and reply

Sign in to contribute

Need an account? Register now.