The launch of the PlayStation 5 Pro has stirred up conversation, especially with its steep starting price of $699. When you factor in the additional accessories most gamers would consider essential, the total cost of owning the console exceeds $800. This price increase has sparked concerns that Sony’s high pricing could influence other console manufacturers to follow suit. However, it seems that not all hardware CEOs are on board with such a strategy. In a recent interview, Phil Spencer, CEO of Microsoft Gaming, subtly criticized Sony’s pricing approach, suggesting that it’s pushing the limits of what consumers are willing to pay.
Spencer’s interview with Bloomberg provided a broad outlook on Microsoft’s plans for the future. He hinted at possible acquisitions, collaborations with game developers, and an expanding focus on mobile gaming. He also mentioned that Microsoft is still in the process of integrating Activision Blizzard’s employees into its fold, suggesting that any major strategic moves are still a ways off. Additionally, Spencer spoke about Microsoft’s interest in diversifying its game development teams internationally, potentially involving talent from countries like China.
However, the most notable part of the interview was Spencer’s comments on gaming hardware. While he didn’t directly name Sony, he clearly expressed his skepticism about the future of expensive consoles: “To reach new players, we need to be creative and adaptive to new business models, new devices, and new ways of access,” he said. “We’re not going to grow the market with $1,000 consoles.”
This statement came just days before Sony released the PS5 Pro 30th Anniversary Edition, priced at an eye-watering $1,000. While this limited-edition bundle does include some extra items—like a detachable disc drive, a vertical stand, an additional DualSense controller, and a few branded accessories—it still highlights the stark contrast in pricing compared to previous consoles. In fact, the PS4 Pro launched at a significantly lower price of $399 and came with its own disc drive, making the PS5 Pro's price increase even more noticeable.
Despite the high demand for the PS5 Pro 30th Anniversary Edition, which sold out almost immediately, the regular PS5 Pro is not seeing the same level of success. The reason could be its high price tag and the fact that its graphical upgrades are not as significant as many had hoped. For a $700 console, gamers might expect more substantial improvements, especially when the standard PS5 can run most games for hundreds of dollars less.
Spencer’s comments, if aimed at Sony, seem well-justified. He has repeatedly expressed the belief that the gaming market needs to be more accessible, with lower-cost options that can appeal to a broader audience. In comparison, Xbox is currently thriving, with Spencer noting that “the Xbox business has never been more healthy.” According to Spencer, the performance of the Xbox brand today sets it up for a strong future, both in hardware and in the games that Microsoft will continue to develop.
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