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Revealed: Why the PlayStation 4 is Cheaper than the Xbox One

How did Sony lower the cost of their console to beat Microsoft?

PS4 vs Xbox One composite

At E3 2013, Sony announced a $399 price tag for the PlayStation 4, undercutting the Xbox One by $100. However, today it has been revealed that Sony was forced to make quite the large sacrifice in order to make their console cheaper than that of their competitors'.

According to a report from IGN, Sony was initially going to bundle the PS4 with the Eye camera, similar to how the Xbox One is bundled with the Kinect. But prior to E3, Sony removed the camera from the bundle, moving the price point of the console down from $499 to $399. They informed retailers of the removal of the camera, but did not tell them that they intended to change the pricing of the system, in order to keep their tactic a secret from Microsoft. The Eye camera is to be sold separately for $59.99.

While this has potentially doomed the Eye and may place it alongside other weak, unsupported Sony peripherals such as the Move and EyeToy, the fact that none of the PS4's launch titles are eye-enabled means that removing it from the launch bundle in order to make their console cheaper than the Xbox One was a wise move from Sony. Thanks in part to the console's price point, online retailers are reporting record breaking pre-sales of the PS4, leading to Sony raising its sales forecast.

Personally, I'm happy with just my Wii U sensor bar perched precariously on top of my TV, so I'm happy with not forking out the extra cash for the Eye. Well played, Sony.