Sony has announced that the PlayStation 5 will cost $499.99.
The pricing puts Sony squarely up against Microsoft’s next-gen consoles, with the company set to release its entry-level Xbox Series S at $299 and its flagship Xbox Series X for $499 on November 10th.
For comparison, the PlayStation 4 cost $399 at launch, although it currently sells for $299, while the PlayStation 4 Pro originally sold for $399, a price it still sells at today outside of major sales like Black Friday. It’s unclear if Sony is planning to drop prices or discontinue the older models once the PlayStation 5 is out later this year.
It’s also worth noting that the PlayStation 5 will include backwards compatibility for an “overwhelming majority” of the existing PlayStation 4 lineup, although details are still slim. That expanded library might help make it more attractive to potential PlayStation buyers over the older consoles this holiday season.