The price of the PlayStation 4 will definitely play a major role in its success.  According to one analyst, the upcoming console’s magic price point is $299.

Billy Pidgeon, an Inside Network analyst, spoke to GamesIndustry International concerning the PS4’s price.  He said: “I'd like to see maybe two models, one under $300 and one under $400 would be ideal. $299 is the magic price point.  I think this current generation took way too long to get there. It has to be under $400 and honestly if they could subsidize it further and take more of a hit, it might be worth their while in the long run.”

Pidgeon also noted that Sony and Microsoft will probably see slower sales during the first year of availability for their next-gen consoles, causing them to still focus on strategies for keeping their current-generation systems relevant.  “Uptake during the first year is going to be slower than people expect," said Pidgeon. "And to keep a viable business in terms of profit margins, they're going to have to do their best to keep their current-gen platforms viable as they're perhaps moving into next-gen more slowly than they did last time. Historically, we've seen generational transitions where the previous generation just dropped off a cliff when the new console came out, but that would really hurt either Sony or Microsoft if that happened.”

How do you think the PS4 should be priced?  What’s your magic price point for the console?

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