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Microsoft cuts price of Xbox One to catch up to Sony

Microsoft cuts price of Xbox One to catch up to Sony
  • On November 25, 2014

Microsoft announced Tuesday that its dropping the price of its Xbox One- special edition bundles included- to the all-time low of $329 for Black Friday and Cyber Monday. This comes just a few weeks after Microsoft slashed the price to $349 and after unbundling its Kinect.

Sounds like Microsoft is sticking to Sony in an attempt to catch up with Sony sales.

It’s been one year since the release of both consoles, and both companies have released reports showing that they’ve outsold their predecessors. In the last year, both companies fought tough battles and have relied on price, exclusive games, and graphics to sell their consoles. It’s hard to say which of the two companies has beat the other if we’re talking about those three things alone. The number of sales tells a different story and the sales for Sony’s PS4 has far outmatched Microsoft’s next-gen console by almost double.

During a presentation at the 2014 UBS Global Technology Conference, Electronic Arts CFO Blake Jorgensen said:

“Clearly, Sony has jumped out to a lead with a great console and I think a great pricing strategy. But Microsoft is catching up quickly. And pricing actions that are taking place, particularly within this Christmas season, driven by Microsoft around reductions plus a lot of bundled software, I think will continue to help pull the consumer into the new consoles.”

When the consoles launched, the PS4 was an obvious choice for many looking solely at price. Microsoft had bundled its console with Kinect making it about $100 pricier than its competitor. Microsoft soon learned the hard way that consumers simply saw the differences in price rather than all the features Microsoft was trying to sell them with the Xbox One. It had to unbundle the Kinect to match Sony’s price.

Now with the Xbox One’s price going down for the holidays, Microsoft might finally be able to make a dent in its competitor’s sales.

Microsoft is presenting its latest announcement by telling buyers that they are saving $70 off the original price of the Xbox One, which is technically true. Here’s more deals Microsoft is offering on Black Friday:

Xbox One Black Friday deals

Will you be buying an Xbox One this Black Friday?