I always skip warranties. My logic is:
1. If I got them for every gadget, car etc. I buy I'd spend way more on those over time than fixing/replacing the few things that end up breaking after the default warranty is up.
2. Most lemon's die early on and still within the year or whatever warranty.
3. I've never gotten use out of the few extended warranties I did buy in the past (nothing broke).
4. It seems like the console holders are pretty good about fixing/replacing broken consoles even after the warranty for a mostly reasonable fee (at least way cheaper than buying a new one) and I imagine that will be more so with the shift to focusing so much on subscriptions, digital game sales etc. as they'll want to keep people spending money in their ecosystem vs. walking away disgruntled and maybe going to a competitor.
Everyone has their own comfort zone, disposable income etc. of course. Consoles aren't a big blow to my budget so I can roll the dice on shelling out for a repair or replacement anyway.