Pachter's BOM estimate for next gen: PS4 ~$275, Xbox One ~$325

[Killthee]

Analyst predicts: Xbox One priced at $400; PlayStation 4 at $350

Microsoft and Sony are gonna duke it out this holiday with their new consoles and the price of each device could have a big impact on which one does better. For now, Wedbush Securities analyst Michael Pachter is telling investors what he thinks each box will retail for.

The analyst released a note to investors that previews the upcoming Electronic Entertainment Expo trade show. Pachter, and fellow analyst Nick McKay, wrote that they believe that Microsoft will price the Xbox One $50 higher than the PlayStation 4 due to slightly more expensive components.

“For [Xbox One], we believe a starting price of $399 makes sense given that the Xbox 360 Pro debuted at that price point in November 2005,” wrote the analysts. “Our estimate of the bill of materials for the Xbox One — based upon speculation regarding many of the specs — is around $325, suggesting that Microsoft could make a modest profit at the $399 price point. For the PS4, we remain confident that the new console will have a lower initial MSRP than the PS3, which had a lofty starting price of $599 that we believe negatively impacted its long-term popularity. We expect the PS4 to debut at $349, as our estimate of the bill of materials is $275.”

These are speculative numbers. It’s important to remember that industry analysts must make these kinds of predictions to aid investors.

Subsidized consoles and TV stuff coming to PS4 are also brought up in the full article: http://venturebeat.com/2013/06/03/analyst-predicts-xbox-one-priced-at-400-playstation-4-at-350/

 

[SteeloDMZ]

If Pachter says than, then PS4 $550 and Xbox One $650 it is.

 

[JJDinomite]

I wonder how much the included Kinect is to blame for this.

 

[Psycho_Mantis]

$350 PS4

Pachter -_____-

Still great prices for next gen.

 

[Y2Kev]

Is the kinect one made out of gold?

 

[MikeE21286]

dat Kinect tax

 

[BadWolf]

Damn, now all hope for affordable prices is lost.

 

[granabanana]

the Pachter effect is upon us!

 

[Antiwhippy]

Wait, really?

I thought that the Xbone had less powerful thus less expensive components.

 

[Huff]

If Pachter says than, then PS4 $550 and Xbox One $650 it is.

These types of jokes are so tired

 

[Kyoufu]

Isn't that cheap for PS4? They'd be able to sell at a profit from day one... I don't recall them ever doing that before with their hardware.

 

[codhand]

xbone is free with a 5 year agreement

 

[chickdigger802]

Sony apparently struck gold/oil with ddr5 off some island in the east. Must be why china is so agitated.

 

[Bgamer90]

Can't see the PS4 being cheaper than the Xbox One. Can't see that happening at all.

I think the Xbox One will either be the same price as the PS4 or cheaper. Not more.

Yeah, the Xbox One has Kinect but the PS4 has better overall specs which therefore leads me to believe that the prices will balance out between each other.

 

[mattp]

I wonder how much the included Kinect is to blame for this.

it's gotta be 100% because of kinect. it's a pretty high tech device, not to mention the xbox one is almost literally a ps4 with lesser components. so i doubt anything in there costs MORE than the ps4 components

 

[The_Sheldon]

I will eat proprietary Sony memory cards for breakfast if the PS4 is less then $399

 

[Chamber]

Please be right for once.

 

[Acheteedo]

Can't wait for the price meltdowns next week. I'd be amazed if Sony undercut Microsoft, that would be something to behold on GAF.

 

[zomgbbqftw]

Though we're going to revise out PS4 BoM, probably downwards, once we see the box, I don't think it will go as alow as $275. Seems optimistic.

 

[Minigo]

Wait, really?

I thought that the Xbone had less powerful thus less expensive components.

all that plus dat Kicect 2 advanced espionage device

 

[StuBurns]

Really? Is there a chipset in the Kinect or something?

This seems like bollocks.

 

[MrValtor]

I don't think that he is even trying anymore ...

 

[Dead Prince]

first they say $350 for ps4. now BOM is cheaper than xbox. BELIEVE.

 

[statham]

wasn't the BOM on the 360/PS3 around $800 at launch?

 

[QP3]

Wait, really?

I thought that the Xbone had less powerful thus less expensive components.

I think it is because kinect packaged in

 

[quest]

dat Kinect tax

Also ESRAM tax I can only imagine the yields of the SOC because of it. Sony made a gamble with GDDR5 and it paid off.

I think he is a bit off I think 399.99 for both.

 

[Kusagari]

No way in hell PS4 is under 300.

 

[GuitarAtomik]

Yeah, I would guess an extra $50 for both of those. It would be awesome if he's right though.

 

[Keegs]

I really can't see either of these consoles selling for less than $399 to start, unless they're subsidized.

 

[BadWolf]

Wait, really?

I thought that the Xbone had less powerful thus less expensive components.

All of them come with a Kinect 2.0, also might be why they made it weaker than the PS4 (to keep costs down).

 

[Foxix Von]

Wait, really?

I thought that the Xbone had less powerful thus less expensive components.

You would think so right? I'm not sure if anyone speculated that it would be that much more expensive to produce, but there was definitely some speculation that the esram and kinect are both going to be ridiculously expensive to include.

 

[DJIzana]

If PS4 IS $275.00 then I'm EASILY buying one day 1. No hesitations on that one.

 

[evangd007]

A 250GB Xbox360 with Kinect is currently $400 MSRP, for reference.

 

[Lagspike_exe]

And FUSE will sell 5m copies.

 

[CosmicGroinPull]

Is the kinect one made out of gold?

X-ray cameras to thwart any pathetic attempts to escape MS' surveillance.

 

[Gammacide]

Wow. It'll be interesting to see how accurate this is. If Sony beat Microsoft on price then the next-gen landscape will look very different from the current one indeed. And personally I would LOVE the PS4 to be lower than $399 USD so I am fine with these predictions.

 

[I H8 Memes]

I wonder how much the included Kinect is to blame for this.

If the Xbox 1 does launch at a higher price than the PS4 then Kinect 2 would be entirely responsible for the higher price. The PS4 gpu and memory are both more powerful and more expensive than what is in the Xbox 1. We dont have enough info on the CPU yet to say which is more powerful or if there is a difference at all.

 

[Steroyd]

Wait, really?

I thought that the Xbone had less powerful thus less expensive components.

Got to take into consideration that Kinect is going in every box.

That is the only reason the X1 is going to be more expensive than the PS4 if it is.

 

[BadWolf]

If PS4 IS $275.00 then I'm EASILY buying one day 1. No hesitations on that one.

If they go for $299.99 then the generation is pretty much their's imo.

$350 is till a great price though, especially if its cheaper than the X1.

 

[Brinbe]

Didn't we see those numbers from Pach a few weeks ago? A PS4 price @ Tree-Fitty would be too good to be true.

And smh, people are misreading the article.

"We expect the PS4 to debut at $349, as our estimate of the bill of materials is $275.”

 

[Vidpixel]

That would be amazing if true for the PS4, but I highly doubt that either of these consoles will be priced at anything lower than $400. I'm honestly expecting more along the lines of $450 to $500.

 

[Kyoufu]

If PS4 IS $275.00 then I'm EASILY buying one day 1. No hesitations on that one.

lol, that's BoM, not launch price.

 

[FluxWaveZ]

If PS4 IS $275.00 then I'm EASILY buying one day 1. No hesitations on that one.

They expect the PS4 to debut at $350.

 

[RoboPlato]

Wait, really?

I thought that the Xbone had less powerful thus less expensive components.

The GPU in XBO has embedded RAM, which is much more difficult to manufacure and adds a lot of cost. That and Kinect 2, which is far more complex than the PSEye, are what make up the difference.

I hope Pachter is right on this one.

 

[MikeE21286]

Is the kinect one made out of gold?

You see how big it is....it'd be much more expensive if that was the case :lol

 

[Jigolo]

Same guy predicted 5 million sales for Fuse...

 

[lostones]

LMAOO at pachter he can't be serious with these BOM, if anything both would just sell at 300.00 if true which they're not

 

[Brokun]

If PS4 IS $275.00 then I'm EASILY buying one day 1. No hesitations on that one.

That's bill of materials, not retail price. Retail is est. $349.

Even at $349 though, that's a hell of a price. I'm in day 1 if true. And if the Xbox is $399, I won't wait as long as I had anticipated to get one.

 

[Raxus]

There is 0 chance these will be under 400 dollars unless they stripped half of what was in the consoles.

 

[MikeE21286]

Man, if PS4 can jump out at $299. That'd be completely insane. I wonder if his BOM contains the PS4 eye?? Probably not.