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Microsoft Must Convince Gamers That Xbox One’s Price is Worth it – Activision

While Microsoft claims the Xbox One is actually cheaper for its $499 price tag; Activision believes they will have to ‘convince’ gamers its worth.

In an interview with GamesIndustry, Activision CEO Eric Hirshberg said, “If you do a focus group of a gazillion people and you show them two prices for two competitive products, 100 percent always prefer the lower price”.

In that light Microsoft still has a lot of work ahead of them if they are to “win the value argument”.

“I think from a first impression standpoint the win goes to Sony, at least as it relates to pricing. Microsoft is going to have to win the hearts and minds and convince people that the higher price point is worth it, and that it provides really meaningful capabilities that will be meaningful to consumers. And it’s a long game, so I am sure that’s what they intend on trying to do.”

Sony dropped a bombshell at E3 earlier this month when they followed up Microsoft’s price tag with $399 for the PlayStation 4. One reason that the Xbox One is a $100 more expensive is because it comes bundled with the new Kinect; which this time around is integrated right into the console.

Microsoft has stated that the new Kinect will change the console war forever but what does Hirshberg think on that?

“I think it’s the same answer; I feel they have to show why that’s a good thing and why it’s worth the premium and deserves inclusion and why it’s something that gamers are going to come to really value and appreciate.”

“It’s going to be a fun battle to watch, but I think they definitely have to win hearts and minds in terms of the value of it,” concluded Hirshberg.

Activision has signed timed exclusivity deals with both Sony and Microsoft. Call of Duty: Ghosts and its DLC will release first on the Xbox; while Destiny will have exclusivity for the PlayStation 4.