According to a report from Japanese outlet Famitsu, Microsoft has already applied a price cut to Xbox Series S in Japan even before releasing on November 10, 2020.
The price cut confirms Microsoft’s aggressive strategy to try and get more appeal on local consumers, who have preferred Nintendo and Sony’s consoles thus far.
Xbox Series S price has been reduced to 29,980 JPY, excluding tax, for a price reduction of 3,000 JPY ($29). Xbox Series X is not planned to receive a similar treatment, as the price has remained 49,980 JPY.
There’s a chance the report could be confirmed at the incoming Tokyo Game Show Online’s media briefing, which will be hosted by Xbox at 9pm local time. The price reduction would bring Xbox Series S at 10,000 JPY ($96) below PS5 Digital Edition, the cheapest Sony’s offering for the next generation (39,980 JPY).
Xbox Series S differs from PS5 Digital Edition; it doesn’t feature an optical drive, has lower specs compared to PS5 and Xbox Series X core model. It’s priced $299 in the rest of the world, against Xbox Series X and PS5’s $499.
This price cut doesn’t really come as a surprise, though. Microsoft has always mentioned that it is unacceptable the way its consoles are performing in Japan.
Head of Xbox Phil Spencer has said multiple times that he would like a Japanese development team to join Xbox Game Studios to better resonate with that territory.
In a time of acquisitions, Microsoft has not to be ruled out that operations in the territory could be in the making, but it would not make any acquisition announcement at TGS this year.