Why is $500 alot for a next gen xbox. The xbox 360 released nov 2005 for $300/$400 and today its selling for $200/$300/$400
It's highly likely that the 360 (and ps3) will not be the same price in two years as they are today. So the price hike will look even bigger and thus less attractive.
After seeing how the ps3 performed it's first year, I doubt MS or Sony would be dumb enough to launch a console above $400, regardless of what tech or features are offered.
PS3 was around that price though and didn't completely bomb.
It didn't completely bomb because of how strong the Playstation brand name was and still is in some ways. It can even be argued that the PS brand took a hit this gen partially due to the high initial price.
I doubt MS or Ninty would have done as well in a similar situation.
You get alot now for what your paying . $500 for 7-8 years of a console in which it has hulu , netflix , cutting edge graphics , streaming from your pc and tons of other things .
I also wouldn't be surprsied if xbox live moves towards windows phone 7 during the next gen (or what windows phone turns into
All the extra bells and whistles in the PS3 didn't save it from performing rather poorly while it's price was high, it's doubtful that things would change in the future.
The average consumer doesn't really pay attention to everything they get in the box if the initial shock of the price is too great.
Those people are very ignorant or typical dumb lazy mass consumerists or both.
I'm neither ignorant nor lazy and I prefer gaming on a console, so no I really don't think this is the case. Some would say people that make generalized blanket statements are rather ignorant though.