Microsoft needs to "win the value argument," over $499 Xbox One

Activision Publishing boss Eric Hirshberg isn't too worried over Xbox One's $499 price point, but he does feel that the firm needs to prove why it's worth the price.

Speaking with GI International, Hirshberg said it's up to Microsoft to "win the value argument," but for now, the "win goes" to Sony for it's lower price.

"If you do a focus group of a gazillion people and you show them two prices for two competitive products, 100% always prefer the lower price," he said. "I think from a first impression standpoint the win goes to Sony, at least as it relates to pricing. Microsoft is going to have to win the hearts and minds and convince people that the higher price point is worth it, and that it provides really meaningful capabilities that will be meaningful to consumers. And it's a long game, so I am sure that's what they intend on trying to do.

"I feel they have to show why that's a good thing and why it's worth the premium and deserves inclusion and why it's something that gamers are going to come to really value and appreciate.

"It's going to be a fun battle to watch, but I think they definitely have to win hearts and minds in terms of the value of it."

Xbox One and PS4 are both due sometime in November.