Originally Posted by mrlittlejeans
Because they did not know Sony's specs or pricing when they were starting their own development.
Microsoft has a market cap of $300b and had cash or cash equivalents at June 30th $77b. Sony has a market cap of $18b.
There is no way I believe a company with the resources of MS made a decision to cut performance of the X1 down to below Sony's level so they could spend more on the X1's other features. Their pricing no doubt reflects what they think the market will bear and what they would like to make on the product. If they wanted to reduce the price to be the same as Sony, they could do it in a heartbeat. Heck, they could purchase Sony three times over with just their spare cash. MS makes more in a year than Sony's entire market cap.
I would disagree with the statement that it doesn't perform as well. 1st, it is too early to tell what the systems' ultimate capability will be and launch games are not a good indicator of that. 2nd, You would need to define performance. If it is pure pixel count, the jury is still out and will be for quite a while. If it is a total gaming experience, I would give the edge to the X1 as Kinect, the Xbox controller, and Xbox Live give me a better gaming experience than I could get on PS4.
Agree that MS has money to burn, and if so inclined could have made a beast of a machine, hardware-wise. Of course, that would have increased retail price significantly, pricing many people out of the market.
While MS would more than likely have alienated far more consumers if they had limited the scope of all the non-game features, thereby saving money on R&D and production, they then could have applied that money toward a console with better hardware, better specs and still sold it for $499.
So, the inclusion of all the entertainment features may be responsible for the current hardware/specs, not because MS didn't have the money to include better hardware, but they couldn't have done both for $499.
I personally would rather have an X1 with better specs than the PS4 w/o all the added entertainment features for $499. The fact that some games are running at 720p on the X1 is not next gen to me. I'm not a graphics whore, but c'mon this is 8 years after the 360. Maybe it's just the initial wave of games and once developers really learn how to optimize games and/or MS implements software tweaks all games will play at 1080p smoothly.