Activision Boss on Xbox One Price: “Microsoft Must Win the Value Argument”

After Microsoft announced a turn-around on its DRM policies for the upcoming Xbox One, the only hurdle seemingly left for the company to clear is the price point. The console will retail at $499, which will be $100 more than the PlayStation 4’s price when it launches. But as Activision Publishing boss Eric Hirshberg points out, “It’s up to them to win the value argument.”

Speaking to GamesIndustry International in regards to whether the company was concerned about the Xbox One’s price, Hirshberg stated that, “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.

“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.

Of course, the higher price is due to the inclusion of Kinect. But does it appeal to Activision or make a difference to the console in the long run?

Hershberg retored 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.”

The Xbox One is set to release this November while the PlayStation 4 will go on sale in the Holiday season.