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Xbox boss says $500 Xbox One is 'over-delivering on value,' name-drops Halo 5

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The $500 price tag for the Xbox One elicited audible gasps during Microsoft's E3 press conference. Speaking to Bloomberg, Xbox head Don Mattrick defended the hefty price, saying that Microsoft is "over-delivering on value" with the Xbox One.

"It's a lower number than some of the analysts had forecasted," Mattrick said. "We're over-delivering value against other choices, I think, consumers can get. Any modern product these days, you look at it [and] $499 isn't a ridiculous price point. We're delivering thousands of dollars of value to people, so I think that they're going to love it when they use it."

What will convince consumers to opt for Xbox One, he said, is the breadth of services the console will have available. Specifically, he mentioned Twitch streaming, Skype and SmartGlass.

During the same interview, Mattrick also referred to the next Halo game as Halo 5. At Microsoft's E3 press briefing, a reveal trailer referred to the game simply as "Halo."

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