Pricing in a vacuum seems reasonable; PSVR1 was $400 7 years ago, with inflation that’s $491 today. So $550 isn’t insane. But no backwards compatibility is a hard sell, and it isn’t in a vacuum, the Quest 2 costs $399.
Is the PSVR2 hardware better? Maybe. Does it result in a markedly superior experience? Maybe that too. But who’s going to compare head to head? It’s all about the games, and there the Quest 2 wins by a mile. Hell, so does the PSVR1. That will change over time, of course, but it’s murdering their launch.