After Microsoft and Electronics Arts had their time at E3 yesterday, Sony stepped up to reveal its latest console, the Playstation 4, to thunderous applause. Critics are applauding as well.

Just a few hours earlier, Microsoft had announced that its latest entertainment system, the Xbox One, would cost $499. A week ago, Microsoft announced on its Web site that the console would require an Internet connection, and restrictions would apply to used games.

Sony responded with a small ad poking fun at Microsoft’s policies. PS4 users will never be required to connect to the Internet in order to use their console, and there will be no restrictions on used games. Jack Tretton, Sony Computer Entertainment president, delivered this news with a huge smile on his face, knowing that the PS4 had clearly won itself hordes of new fans.

“PlayStation 4 won’t impose any new restrictions on used games. This is a good thing,” Tretton said as the audience roared. “When a gamer buys a PS4 disc, they have the rights to that copy of the game.”

The PS4 will cost $100 less than the new Xbox, though this is most likely because Microsoft is requiring the Xbox One to be shipped with Kinect. Microsoft is banking on the Kinect and motion-control devices being the way of the future, but so far it seems most gamers just want to sit down on the couch with a controller.

Before Sony announced the final price of its console, audiences were treated to nearly two hours of gameplay videos and trailers for upcoming games on the PS4. Here are a few PS4 exclusive trailers:

From the initial response on social media, it seems that Microsoft has some serious catching up to do in the latest console war. A higher price point, a required online connection and heavy restrictions on used games are all heavy strikes against the Xbox One. Many games are willing to forgo popular titles, including Microsoft exclusives Titanfall and a new Halo game, for the PS4’s selling points.

Of course, the PS4 does have some new restrictions as well. Microsoft’s wildly popular Xbox Live service has always required a fee to play, and it seems that Sony is now following suit with the PS4. Previously, Playstation’s online network was free to use, but many complained about outage problems and other service issues. Hopefully a fee will help Sony maintain a quality network.

The question remains as to whether or not Microsoft will go back on any of its announcements to compete with the PS4.  As of now, the PS4 is going to be the choice for gamers this holiday season. I can already hear gaming nerds across the world salivating at the thought.