But if we're comparing to a current gen console then do you include the subscription the console requires for online play? Stadia Pro also gives 'free games' the same way Playstation Plus and Xbox Gold Live do too.

Especially in the 'casual/occasional' gamer market, where they don't care enough about the difference between 1080p and 4K. Most are probably just interested in being able to play the latest hot game. That's exactly the same market Microsoft is targeting with the Xbox Series S.