An Xbox Series S price cut has already happened, but there’s a good reason behind it. According to a report from Japanese outlet Famitsu, Microsoft has already pushed out a price cut in Japan for the weaker next-gen console. That console comes out on November 10, 2020.
It might seem overly aggressive to push a regional price cut on a console that’s not even out yet, but it’s likely the only major shot Microsoft has at making the console marketable in the country, Microsoft has had troubles getting any of the Xbox consoles to sell in Japan. Nintendo and Sony have been dominant in terms of sales in the region, far outselling the previous Xbox consoles.
Xbox Series S price has been reduced to 29,980 JPY, excluding tax, for a price reduction of 3,000 JPY ($29). The more powerful of the two consoles, the Xbox Series X, will not be budging on the price. It looks like Microsoft will not be wanting to take too big of a loss in Japan, as the price for the XSX will remain at 49,980 JPY or around $475 USD.
Both of these prices are likely a loss leader, or something that Microsoft is taking a loss on in order to recoup later—with the obvious Xbox Series S price cut that’s a much bigger loss. It wouldn’t make too much sense to take a double loss though on both consoles.
This price cut pushes the Xbox Series S around 10,000 JPY ($96) below PS5 Digital Edition, the cheapest offering for Sony is still pretty expensive comparatively at 39,980 JPY. The difference may not be enough though, as Sony is pretty entrenched in the minds of Japanese consumers compared to Microsoft.
The new console has a pretty weak layout in terms of specs. The Xbox Series S is an all-digital console with only 512 GB of storage on its NvME SSD. It’s not really meant for hardcore gamers, but it does not offer much beyond casual gaming. And anyone without fast uncapped internet will be really hampered by the all-digital format. That’s all without mentioning the $220 storage upgrade for 1 TB.
