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Tuesday, July 08, 2008 7:38 AM PT Posted by Matt Peckham

Pre-E3 Price Rumble: PS3 versus Xbox 360

We already know the Wii's flying off shelves like half-price Oreos, but how are things shaping up in the feature-value scrimmaging between Sony and Microsoft? Last October I plugged some numbers into a spreadsheet for kicks and discovered the PS3 was in fact marginally less expensive than the Xbox 360 once you took into account all the stuff you have to buy to make Microsoft's much accessorized system more or less feature-equivalent. Never mind the nickel-and-dime nitpicking over limited-time bundles and special deals, the notion that Sony's $400-$500 system was a relatively decent buy with all the negative press about Sony's pricing was a minor revelation.

Is that still the case? Let's take a look.

(Bear in mind this comparison doesn't take into account limited-time offers or special deals or "refurbished" pricing or whatever else your local retailer's doing to incentivize you to pick one or the other up.)

Thoughts...

- Curiously, the Xbox 360 "Arcade" is more expensive than the "Premium" model once you accessorize it. Jump up to the 120GB hard drive and the price leaps all the way up to an incredible $630! (And without the Premium's included component and HDMI cables.) No surprise: As with the discontinued "Core" system the "Arcade" replaced, you pay in the rears (and then some) for the perquisites of investing a smaller amount up front.

- Sony ought to start thinking about including its DualShock 3 (force-feedback) with the PS3, considering Microsoft includes the equivalent with its entry-level model. And no, SIXAXIS doesn't (yet) differentiate the controller enough to warrant special mention as a gotta-have-it feature. (Don't make me talk about Lair again, okay?) Oh, and throw a bluetooth headset in the box while you're at it. UPDATE: The system desperately needs a bundled HD cable, at minimum a $20 component option, if not an HDMI piece de resistance. Note that while a Sony HDMI cable will set you back upwards of $60, you can pick one up from a third party vendor for as little as $16.50. And no, you shouldn't add the cost of both component and HDMI, since you'll pick one or the other, making the PS3's high-def cable delta (shopping frugally) about $20.

- The Xbox 360's upgrade pricing -- already laughably high when the system debuted relative to comparable market part pricing -- needs to drop immediately and dramatically. The notion that customers would pay $90 for a paltry 20GB (much less $180 for 120GB) when you can get a 250GB 2.5" SATA hard drive for $130 (and slap it in your PS3) is ludicrous. So is paying a hundred bucks for an 802.11g USB wireless network adapter worth less than half that in the form of a PC USB key.

- What's the difference between HDMI 1.3a and 1.2? Everything and nothing. Everything in the sense that I can count over a dozen new features jumping from 1.2 to 1.3a. Nothing in the sense that it's all barely incremental technical mumbly-jumbly even A/V-philes would have difficulty sussing out (if you want to know anyway, AVS Forum has a nice breakdown here).

- I've removed Microsoft's external HD-DVD player (closing out for as little as $30 in some places) from the bundle for obvious reasons, with apologies to HD-DVD holdouts. Now: Microsoft owes its customers a dedicated Blu-ray player, and I'm still betting money we'll see an actual part, or at least one announced, by the end of 2008. If it happens, given Microsoft's accessory pricing, don't expect it to be cheap. Bear in mind that a decent standalone Blu-ray player baselines in the $300 range, something I'm not representing in the chart above, and a point that weighs dramatically in Sony's favor if you care at all about HD optical media.

- The sooner Sony opts to make PS2-nerfed PS3s backward-compatible, the better. We're still seeing new and significant PS2-only games (like Persona 4) in the queue, for goodness sake, and what self-respecting PS3 owner really wants to clutter up their TV's A/V ports with an eight year old piece of space-hogging hardware?

- I opted not to include the 80GB PS3 MGS4 bundle because most stores aren't carrying it at this point, and the ones that are report it being "sold out" and "not available" for store pickup.

- Should I be including annual power cost estimates? Some of my readers think so. I don't know how much an Xbox 360 costs in electricity per year (it can't be cheap), but according to a study by Australian consumer group Choice I mentioned in early June, it costs $250 a year on average to power the PS3 (the study claims the Xbox 360 comes in second, though the original article doesn't say by how much).

Summary:

What's changed in roughly 10 months? Not much. Sony, which at one point had three versions of the PS3 on the market, is virtually down to one, while Microsoft continues to chip away at the market with an unvarying tiered approach. While I've been harsh on Microsoft for its inflated component pricing, I still think the way the 360 offers customers an "acclimation model" trumps Sony's monolithic "buy the farm" approach. Sure, you get integrated Blu-ray out of the box with the PS3, but why force buyers to swallow the entire buffet in one sitting?

What's more, you've probably read the rumors that Microsoft's planning to drop the price of its $350 "Premium" system by $50 ahead of E3 (the blurry ad in circulation suggests the magic date is next Sunday, July 13th). If it happens and we see a sustained summer sales uptick for the 360, expect retaliatory pricing from Sony as early as autumn.

Comments

I'm sorry but I have to cry foul on this. You blatantly added additional equipment to the XB360 to make it more expensive.

1) There is no Sony brand wireless adapter available for the PS3, nor is it Wi-Fi capable out of the box. XB360s have it as an optional item. If you're going to compare like for like, take that off.

2) XBox doesn't require you to have a Gold account (the extra $50 a year) to have access to the marketplace or track your achievements or play most games. The FREE Silver account works just fine.

Those two items drops $150 bucks off the cost. Yes, you get a Blu-Ray player for the PS3, but you can't count that if it's not available for XB360. Twist the numbers all you want, I see where you stand.

wanderson75
July 08, 2008
9:06 AM PT

Sorry wanderson75. I just bought a 40gb PS3 (simply for the BluRay player) and was pleasantly surprised when the setup wizard recognized my home WiFi, downloaded firmware updates, and then let me share my media collection from my PC.

ArranEley
July 08, 2008
9:35 AM PT

"1) There is no Sony brand wireless adapter available for the PS3, nor is it Wi-Fi capable out of the box. XB360s have it as an optional item. If you're going to compare like for like, take that off."

What? The PS3 is 100% wireless capable out of the box, and has been since I picked up my 60GB model last year.

"2) XBox doesn't require you to have a Gold account (the extra $50 a year) to have access to the marketplace or track your achievements or play most games. The FREE Silver account works just fine."

Yeah, but you get online multiplayer functionality on the PS3 for free, which is what he's comparing.

orinthe
July 08, 2008
9:42 AM PT

Wanderson75....the reason that there is not a dedicated Wireless adaptor for the PS3 is due to the fact that WI-FI is in built into the system....no need for add on's ....simply needs to be set up which is a very simple process...........Add that back on !!

Really the systems are similar in price, I would not mind paying $50 for a years membership if I had a 360. All the PS3 fan boys who shout down XBOX on this are just finding one thing to jump on and I bet they would all be happy to pay if Sony charged.
For me I went with PS3 as I think it has more potential, also the noise and the sheer size of the power supply really put me off the 360...along with reports of the RROD and the fact that I though HDDVD would die a death.

Competition is a health thing and the more sytems that sell on either side will only add to the quality of games that we can all enjoy be you an 360 or PS3 owner

ArranEley
July 08, 2008
9:49 AM PT

I second that, the PS3 most definitely is has 802.11G wireless out of the box--I had to rearrange my living room so I could hook up the 360 with ethernet. The fact that Microsoft charges $100 for a wifi bridge is just ludicrous, and including it in the price is more than fair.

What everyone should really take out of this, though, is that the price is roughly comparable for the two, with maybe a slight premium on the PS3 (the X-Box Live Gold membership is nice, but definitely does not need to be included--both he PS3 and 360 give you online multiplayer out of the box). You do get Blu-ray on the PS3, though, which is not just for Blu-ray movies--games are starting to require it, too. Also, they BOTH stream media from PCs (but the 360 is compatible with iPods where the PS3 isn't, and the PS3 uses a standard protocol, where the 360 is only made to work with certain Microsoft software).

orinthe
July 08, 2008
9:51 AM PT

1.) The only ps3 that didn't have a built in wifi was the 20 gb launch model, which isn't made anymore. You get online service out of the box, whether you want it or not.

2.) True, the xbox silver membership is free. But the only way to play online multiplayer games is to purchase a gold pass. For sony this is free... To make them equivalent, you have to add the 50 dollars, even though the 360's online service, be it silver or gold, is much more respectable than sony's.

It all comes down to what you want. When it comes to complete hardware pricing, you'll get a better deal from the ps3. But if you don't want all the extras, you're definitley better off with a 360.

orinthe
July 08, 2008
9:53 AM PT

Great point about Blu-ray as a gaming requirement, Orinthe. Without a mainstream optical solution that can store more than a regular DVD, you're back to four (or more) disc games, probably bigger-than-desired installs eating up your hard drive space, and having to swap discs during gameplay.

Look at Lost Odyssey (360-exclusive RPG). It already comes on four DVDs...

mattpeckham
July 08, 2008
10:11 AM PT

Matt - here are costs you forgot to include:

PS3 power consumption: $50 more per year than Xbox
http://news.softpedia.com/news/The-PS3-Consumes-Five-Times-More-Power-than-a-Fridge-87232.shtml

And
PS3 HD cables: $69 -- why do you ignore the fact that PS3 does not ship with HD cables? Also that they charge $69 for them?

Also - it's good that you got this article out today since you know as well as most gamers that the Xbox is dropping $50 in price tomorrow or later this week . . .

So let's all be honest here Matt - the Xbox is $169 less than the PS3,.

jsimons2000
July 08, 2008
10:13 AM PT

I'm not ignoring the cables jsimons, but it's impossible to get a comparison that everyone agrees is perfectly apples-to-apples. I hedged by baselining at "composite," though I absolutely grant your point about HD cable costs.

I'll add that as a point-update to the article now.

mattpeckham
July 08, 2008
10:16 AM PT

@jsimons2000 - You should read the power consumption article. They are comparing the 360 and PS3's consumption if you left them on 24/7. Although the 360 consumes less electricity the actual realized savings is minimal, certainly not $50.

You can get good HDMI cables (better than the 360 packin hdmi cable for $10 not $69).

The rumored $50 price drop doesn't change the fact that the PS3 is a better gaming machine and is one of the best Blu-ray players on the market.

db2000
July 08, 2008
11:13 AM PT

Thanks for the read.


Who pays $50 for a headset?

Physics
July 08, 2008
11:33 AM PT

I enjoy how the Xbox defenders don't research what they are preaching.

1: The PS3 does indeed have wifi out of the box.
2: A silver membership on XBL does NOT allow you to "most" play online!
3: The HDMI cable I purchased for my 360/PS3 came to less then $10 dollars on sale.

He isn't saying the 360 is a bad deal, just that with all of the addons its more expensive to make it comparable, function wise.

Testo
July 08, 2008
2:01 PM PT

Hey Matt,

Hope all is well.

SO.... you may be excited to hear I ventured away from Nintendo. I'm actually going live on PS3's network soon, but I haven't picked a screen name... or bought GTA 4.

I'm sad that I missed the pricewar, but I simply couldn't wait any longer to buy a blu ray player - the first draw I initially had for the PS3. So, I shelled out a cold 400 bucks, plus 150 for optimized 120 hz HDMI monster cable (i'm sure i got ripped).

What i really wonder is whether this will impact nintendo's prices at all. What they win for having a low price margin on the Wii console, they lose for having so many damned accessories to buy.

-Mark

MarkSLindsey
July 08, 2008
5:15 PM PT

360 fanboys are retarded ps3 fanboys actually know what they are talking about. sure you can spend 50 bucks on a sony HDMI cable but u have the option of buying another company's cable for 10 or 20. sure u can buy a 50 dollar blutooth headset, or you have the option to buy any other blutooth for $30 (actually got mine for $25) AND it works for your phone too.

40 Gig hard drive aint much so if u need more space u have the option of buying any 2.5 hard drive u want for a great price.

what's stupid with microsoft is that they are the ONLY company that you can get a wireless adapter or hard drive so there's no competition and that's why they chrage a ridiculous price for those items and that's why it's fair to only input $20 for an hmdi cable for the ps3 and the headset should actually be LOWER than $50 and there is NO ARGUING with that FACT.

rickdog1234
July 08, 2008
11:42 PM PT

At the end of the day weather you purchased a 360 or PS3 you got a great system. Fanboys on both sides of the argument are silly and anyone calling someone a fanboy is just a fanboy of another system. I have all 3 systems and there is one thing I can tell you without a doubt, it's a love hate relationship with each of them. Wii has a ton of junk games, PS3 & Sony's PSN is free for a reason it sucks when compaired to Xbox Live, and 360 has the "RRD" (red ring of death) & the add-ons are expensive.

On the "love side." I love the Blu-Ray player in the PS3, I love the vast selection of games, movies & T.V. shows on Xbox live and the mulltiplayer on Live Gold is awesome. Wii gets love for getting me and the kids off our duff's and playing tennis etc....

As for what these things were designed to do, which is play games, Xbox 360 wins hands down. I mostly watch HD movies on PS3, but there is a small number of games I do enjoy on that console. Wii is the fun pary system at my house.

DoomsDae65
July 09, 2008
5:30 AM PT

If Microsoft did/does end up making a Blu-ray player for the 360, I think it would a big waste of money. The future isn't in Blu-ray, it's in direct HD downloads. Why go get/rent a HD vid when you can sit at home and download it. Microsoft needs to be pushing that.

Xander04
July 09, 2008
10:19 AM PT

Before you jump down Wanderson 75's throat...read on a little. My $500 PS3 20 Gig, is NOT Wi-Fi ready as are one half of the first ones built. We should remember that nearly half of all PS3's were the twenty Gig model at the time of its introduction. and it does NOT have built in wireless connectivity and lacks some USB connectors and memory card slots. But hey - Mine can and does play PS2 games, albeit a bit choppy...
P.S. @ DB2000, after owning both since their introduction, The PS3 is not a better gaming machine, the Xbox360 is, The PS3 is a better movie player.

billytech
July 09, 2008
11:41 AM PT

@Rickdog

Do your research bud, There are MANY Xbox compatible wireless adapters out on the market now. The Walmart near me carries 2 in stock.

billytech
July 09, 2008
11:47 AM PT

Xander: Way to parrot! I mean, that could be copy/pasted from someone's "BAWWWWW HD-DVD lost but that's ok, NOBODY'S going to be using discs in a year" speech. High-five man, that's some fine brainwashing there.

BDs currently hold 50GB of dats, with the future showing 250GB and above. With a BD movie at about 20GB, I can store less than one on my (expensive, as Matt noted,) 360. Go up to the Elite, and I can do five, plus game data and add ons. And about streaming: If I'm paying for it, I want either a physical copy of the thing, or some ones and zeroes on my hard drive.

I've got the PS3 80GB, and the Xbox360 Premium. Out of the box I was playing my PS3 online, and the only preipheral I've purchased for it so far is a second controller. My Xbox, however, I'm going to have to buy a wifi adapter, or figure something out to get around that, and Live.

1/2

LoganF
July 15, 2008
8:37 AM PT

2/2

And anyone who wants to say Live is optional: You're an idiot. What's one of the first things you mention when you tell me the 360's better? Live. so include it til you stop mentioning it.

All I got for now.

LoganF
July 15, 2008
8:41 AM PT

any bluetooth head set that is bluetooth 2.0 will work with the ps3 that is I picked my up my cell phone/bluetooth head set at wal wart for 20 bucks. I use it on my cell and my friends 9s3 when I take it for the weekend

rtfire1
July 15, 2008
10:28 AM PT

The PS3 and X360 are both excellent entertainment suites. So please, death to fanboys on either side.

Sony has HD installs, more HD options in general, Blu-ray, built in Wi-Fi and free online. Sony also has expensive headsets and SIXAXIS controllers (optional, of course), a sub-par online service, and generally agreed upon less-than-stellar catalogue of games at present time.

Msoft at present time has a generally agreed upon excellent catalogue of games, reputable online service in LIVE, and, depending on your model, a few out of the box accessories Sony lacks. Msoft also has no HD install option currently, poor HD options in general, no sustainable next-gen media player, ridiculously expensive Wi-Fi component (optional, of course), and a low-end entry system that hardly warrants its price tag.

Yes, at the end of the day, both systems are comparable. If neither of them had any problems to fix, we'd have none of this lovely, "innovative" competition.

xtal84
July 15, 2008
12:31 PM PT

Come on guys. If you want to compare apples to apples then do so. Bluetooth, ease to install linux, web brower, wireless out of the box, easy to replace hard drive are just a few nice features on the PS3. Don't compare apples to oranges. Granted both have their place and it is ultimately up to each users preferences. I have both and each has its place. I love the Blu-ray on the PS3. But please stop comparing PSN to Xbox LIVE. That is not a good thing at the moment to brag about. Although Sony has made some great strides there firmware update only brings the PSN experience to the level it should have been from day one. How many games actually incorporate the Trophies. It is not requirement for a new game to include this. It is however a standard for 360 games. Can you invite a friend to join your game while you are playing it? How easy is it to chat with a friend while playing a game on the PS3 or better yet how about if they are playing a different game. And these are only a few of th

appsmanster
July 16, 2008
10:14 AM PT
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