I personally think next generation will be won by price.
If Sonys intention has been to keep to the $399 budget then I think this will put some strain on Microsoft.
1. MS could price the xsx at $450, but I think they will suffer a pretty heavy loss per console sold, Sony would be bleeding them as there will be a fixed budget / operating cost and the other departments will be looking at just how much loss the xbox produces.
2. MS could price the xsx at $500 or $600 in both cases the loss will be far less or it may even make profit on each unit sold, but the sales will be far weaker and its almost guaranteed Sony will outsell them at $100 or $200 price difference.
If the ps5 had been 12tf or 13tf then no doubt both would be at a very similar price point, as it stands I think the xbox costs more to produce, I could be wrong all that custom silicon may have significantly increased the cost of ps5 production, but for certain they don't have to pay royalties to AMD for it as it is their custom design, so I expect the R&D costs would have been fairly hefty, however in mass production it would cost them next to nothing.
I think Sony will end up coming out on top again this generation, by how much I don't know, but I also expect that by the end of this gen for the ps5 to be struggling.
They just need 1 game to showcase the hardware design to show case just what this SSD can do, that no other console or PC to date has been able to do and I think Horizon Zero Dawn 2, almost guaranteed will be it, as I believe this design was specifically targeted at expansive open world games. I also think Naughty Dog will produce something far more open and less linear, probably an Uncharted with Nates daughter that will end up making many a pc and xbox gamer envious.
I also believe FPS' on the xsx will be better, probably standard 120FPS 4K, (Halo & Gears is their bread ) I also believe Racing games will be better on the xsx again probably native 4K 120FPS, I think Forza Horizon( their butter)? Will look jaw dropping and run beautifully probably at 60, possibly 120 FPS, the standard forza guaranteed 120FPS - this is where the raw power comes in.
Me personally I was hoping maybe Bungie would make a Destiny 3 that was actually fun and looked great and tbh I think both consoles would run it well.
Its the gaming genres you need to think about, some genres will greatly benefit from Sonys Design, Others will benefit from the Xbox design, its obvious both have followed paths that would benefit the games studios they have and the sort of games they make. The thing is and I know this is probably not to the liking of the Xbox fans - the truth is if the ssd does as Cerny says its something the Xbox just cannot do, however the PS5 performance is not far off of the xbox performance so Sony can do what the Xbox does albeit with a very small performance parity.
I don't think the Sony implementation of Raytracing will be as good, I think it maybe worse by a good margin and I don't think they have all of the RDNA2 extensions, unlike MS - He was too quiet about some of the things MS announced at a Games Developer Conference. For example VRS, Machine learning and 4 bit / 8 bit / 16 bit integer support