Next-generation consoles likely to be $400 USD

Next-generation consoles from PlayStation and Microsoft are likely to be sold for around $350-$400 USD, according to a games analyst.

Colin Sebastian of Baird Equity Research gave a probable price for both consoles after meeting with various companies at CES 2013.

He believes that Sony and Microsoft will sell the consoles at a cheaper price than the PlayStation 3 and Xbox 360 started on so that they can appeal to a wider audience.

"Given the fragile state of the console game market, we expected the E3 trade show in June will take on added significance, most likely providing the industry with the first public opportunity to examine next-generation hardware," said Sebastian.

He claims the consoles will come with improved voice controls and motion sensing, with the next Xbox having Kinect integration built in.

"Our checks suggest that next-generation console hardware will be largely built from 'off the shelf' high-end PC components, along with hybrid physical/digital distribution models, enhanced voice controls and motion sensing (Kinect integration with every Xbox), and broad multimedia capabilities."

Earlier a Sony executive claimed the PlayStation 4 could be announced in May.