As the next-generation console wars heat up, the focus has recently shifted towards pricing. Sony recently announced that the PlayStation 5 would retail for $499.99, while the digital edition of the console would come in at $399.99. Microsoft, on the other hand, has yet to announce the price for its Xbox Series X console.

With Sony setting the bar relatively high with their pricing, many have wondered if Microsoft should follow suit and increase the price of their console as well. However, there are several reasons why Microsoft should resist the temptation to hike up their price tag.

For starters, Microsoft has already established itself as the more affordable option this generation. The Xbox One launched at a lower price point than the PlayStation 4, and while it may not have outsold Sony’s machine, it certainly didn’t hurt Microsoft in terms of market share. If Microsoft were to suddenly increase the price of their console, it could lead to a negative public perception and potentially hurt sales, especially in an economy that has been hit hard by the COVID-19 pandemic.

Another factor to consider is the importance of subscription services like Xbox Game Pass. Microsoft has positioned itself as a service-focused company, and Xbox Game Pass is at the forefront of that strategy. By partnering with publishers to offer a library of games for a monthly fee, Microsoft has made gaming more accessible and affordable for a wider audience. If the console itself were to become too expensive, it could deter potential subscribers from joining the service.

Furthermore, Microsoft has already shown that they are committed to making the Xbox Series X as accessible as possible. By offering Smart Delivery, a feature that allows users to buy a game once and access it on both Xbox One and Xbox Series X, Microsoft has made it easier for players to transition to the new console. Raising the price of the Xbox Series X could potentially undo that good will with consumers.

Finally, it’s worth noting that there are other costs associated with owning a next-generation console beyond the price tag. With the jump to more powerful hardware, players are going to need to purchase new accessories like controllers and potentially even new cables or adapters to connect their consoles to their TVs. By keeping the price of the Xbox Series X reasonable, Microsoft can make it easier for customers to justify these additional expenses.