Michael Pachter Thinks Project Scorpio Shouldn’t Be Priced Above $399; PS4 Pro Might be $349 by Christmas

Michael Pachter Thinks Project Scorpio Shouldn’t Be Priced Above $399; PS4 Pro Might be $349 by Christmas

Wedbush Securities Analyst Michael Pachter explains why a Project Scorpio priced above $399 would be "a problem" and foretells a price cut for PS4 Pro during the Holiday season.

With Project Scorpio’s reveal looming on the horizon, Wedbush Securities Analyst Michael Pachter explained why it shouldn’t be priced over $399, and brought up the possibility of a $349 PS4 Pro by Christmas in an interview on Gamertag Radio.

Pachter feels that if Microsoft prices Project Scorpio higher than $399, they have a problem (which is inline with his criticism of the pricing of the Nintendo switch), while he understands that the hardware is pretty powerful and that they’re trying to build a huge upgrade on the Xbox One.

If the Xbox One S will still be $300 by Christmas – and Pachter doesn’t think it will be – then Microsoft might have the guts to charge more than $399, but Sony laid the gauntlet down with the price of PS4 Pro, and he doesn’t see Microsoft charging more for Scorpio. If they do, they’re going to have to explain why it’s better, and if Sony is smart – and Pachter believes that they are – they’ll drop the price of PS4 to $349 for the Holidays.

According to Pachter, the only thing Microsoft has going for them is that 4K TVs are becoming what LED TVs became a few years ago, with LCD TVs disappearing from the market. In two or three years there is simply not going to be any reason to manufacture 1080p TVs, so people will start buying consoles that can power games in 4K.

Pachter doesn’t think that the possible ability to use an Oculus Rift with Scorpio is going to be very compelling. He isn’t going to pay up for an Xbox Scorpio so that he can buy Oculus for $600,a and he thinks that that market isn’t as big as perhaps Microsoft thinks.

Just a few days ago, Xbox Division head Phil Spencer mentioned that Microsoft’s studios and teams are making “great progress” on the Scorpio, but he is unsure on whether the console will be revealed before E3.