Pachter: Xbox 360 Will Always Have Price Advantage Over PS3

By Colin Tan on March 31, 2011, 11:15PM EDT
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Wedbush Morgan analyst Michael Pachter has said he believes that Microsoft's Xbox 360 will always have a price advantage over Sony's PS3, an important aspect of Microsoft's console that will, according to Pachter, keep it ahead of the PS3 for many more years to come, at least in America.

"Now that the 360 has a large hard drive, built-in Wi-fi, and Sony is charging for PSN Plus, it's really hard for Sony to convince consumers that the PS3 is a significantly better value, especially at the same price point. Microsoft has a deeper library of DLC, and a comparable library of exclusives," Pachter said.

"The only way PS3 passes 360 is to be priced at a lower level, and I don't see that happening. Sony's cost is higher than Microsoft's, and its parent company is neither as profitable nor as cash rich as Microsoft. Further, Microsoft appears determined to 'win', so I don't see them allowing Sony to gain a pricing advantage, ever."

The Xbox 360 currently has a huge lead ahead of the PS3 on its home turf, by at least 11 million units. However, recent reports claim that the 360 has lost ground on a global scale, with the PS3 already ahead in the hardware race, ending 2010 with 43.4 million units over the 360's 42.9 million.

Source: Industry Gamers

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