Xbox One Price Drop: Why Microsoft Made Its Move In Time For The E3; Yusuf Mehdi Confident The Console Will Hold Its Own Against The PlayStation 4

Tags

A Microsoft boss talks about the Xbox One price drop, a day after the confirmation. The move is the best offense against Sony, ensures the brand and the console pushes forward.

In line with Microsoft's promise that the month of May would be a big month for the Xbox, the company recently announced a serious price drop to its flagship console Xbox One. At $399 dollars, the cut comes without the Kinect bundle, the latter offered as an optional accessory instead.

Squaring toe-to-toe with the PlayStation 4 in terms of price point, Microsoft also announced it is offering entertainment apps Netflix and HBO Go for free, previously exclusive to Xbox Live Gold subscribers. Games with Gold rolls out on the Xbox One this June.

Chief of marketing and strategy Yusuf Mehdi was available for comment on the recent news. The announcement was made prior to the E3 event to ensure the Microsoft campaign only focuses on upcoming games. "We are really excited about bringing what we hope will be a display of games that will tee up an incredible second holiday for Xbox One."

Microsoft seemed more than willing to accommodate the Xbox One price drop, but was hesitant at the prospect of sacrificing the Kinect bundle to make it happen. The Kinect had the potential for being a staple hardware, with more than a billion voice commands, and with each Xbox owner using it for 120 commands per month.

The other consideration is an appealing price point, from a gamer's perspective. Xbox 360 owners wanted more flexibility in transitioning to the new console, and allowing an Xbox One price drop makes it all the more appealing (gamespot.com).

The Kinect is still considered an essential part of the Xbox One experience, and Mehdi maintains that it's not abandoning the product, far from it. The Xbox One price drop is a pricing strategy that makes it a viable competitor to the PS4 (also sold at $399). Mehdi affirms that "this is the right decision at this time."

Join the Discussion

Latest Photo Slide Shows

Real Time Analytics