Correct, but this launches in the future, not now. Also, it seems to be bucking console trends and may be making an expensive/risky power play against Sony. Basically, capitalize on it being the first upgradable generation (well, original XBOX was X86 also) by letting Sony make the first move and then countering it with a move Sony can't reasonably match within the life of this platform.
Sony's issue is it has to move first- spreading the UHD platform for media content is just as important to them as gaming.
Microsoft can afford to wait another year and let it be a full generation refresh. Let Sony sell the PS4k vs the Xbox 2.
Yea I wonder what they plan on pricing this thing. Supposedly its suppose to be out fall 2016 so they must have some figures somewhere.
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If it comes out this fall then it is likely going to closely ape the PS4 update. There's almost no other option even since there's been no rumors about anything else and AMD has openly said they have 3 new console design contracts. And there's not really anything they can get from AMD that will outstrip what Sony is getting (as Zen won't be ready for that and I don't see them trying to stuff one of the construction core CPUs in a console, let alone along with what would be a Fury Nano at least). The cost of that alone would be very high and get quickly eclipsed.
Or, maybe it is them marketing a gaming PC as Xbox and signaling a move to Xbox being a platform. Doubtful though. But I think Microsoft would be smart to do something like that. Have tiers and then try to lock in specs giving a large install base of similar components.
Plus, I'm doubtful of this upgrade setup. When that came out Microsoft got backlash and ridicule (and comparisons to Sega and crap like the 32X) similar to when they announced the One, and they have openly said they get the message that isn't something people want.
I still think it makes more sense that we'll see them move to shorter cycles with more gradual improvements (that get sold as a premium experience at first before it becomes the target spec) and we'll get new consoles every 2-4 years. They finally learned it makes sense to establish a consistent software library, so they won't be making drastic changes that require overhauling the codebase as much (like using completely different CPU architectures). We'll still end up with similar overall lifespan (so if you're an early adopter you can play PS4 games for probably 6 years before major games require a more modern feature set; and with a lot of indie games you might get even more life out of it).
CPUs especially have started to level off, so they can stuff a newer GPU every 3 years or so and offer some combination of higher resolution, eye candy, and framerate.
What will be really interesting to see is how developers handle that. Hopefully companies like Activision and Ubisoft don't treat it as a way of fixing their broken games by hoping brute force will make them playable.