Microsoft explains why next-gen Xbox Series S and Xbox Series X consoles are so cheap

This is a good way to make devices popular.

The cost of the Xbox Series X ($ 500 in the US) and the Xbox Series S ($ 300) came as a pleasant surprise to many users. In addition, in a number of countries, Microsoft retail chains allow you to purchase Xbox consoles on installments through the Xbox All Access program, which also includes an Xbox Game Pass Ultimate subscription.

According to Tim Stewart, Chief Financial Officer of the Xbox division, aggressive pricing will positively influence the popularization of the next generation of consoles. Microsoft intends to attract “people to the ecosystem and the next generation, and to launch the next generation as quickly as possible.”

“If you manage to attract as wide a user base as possible in advance, then you get customers who enjoy the new generation that we offer. From a business point of view, we quickly begin to monetize the process and add value to each client, ”said Tim Stewart.

Earlier in the network flashed messages that Microsoft will sell both consoles in the red. According to Stewart, the financial losses on the sale of consoles will be commented on by revenue from sales of games and subscriptions.

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