The PlayStation 4 is expected to be much cheaper than the PlayStation 3 introduction price of $599 in November 2006. PlayStation 4 will be using some of the same hardware from the PlayStation 3 which will help reduce production cost.
The rumored cost for PlayStation 4 is $400. Many analysts believe Sony has learned their lesson with their pricing of $600 when the PlayStation 3 was released in 2006, and that no gamers want to pay more than $500 for a video game console.
PlayStation 4 should be released with two different models, one with lesser features and a smaller hard drive for $400, and the higher price model that is fully loaded at $500.