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$99 Xbox w/ 2 year $15/month contract official.

Interesting idea...I wonder if they might adopt something like this for next-gen instead of MS covering the early cost themselves?

This has to be Microsoft testing the waters. If this is successful in any way you better believe we'll see this next gen. Good business move in this economy IMO
 

statham

Member
yes, but it's not Black Friday. Black Friday deals only happen for a small period of time annually. Comparing this to Black Friday prices is inherently unfair.
and black friday deals your pretty much waking up at 1:00am to camp, in the cold to save $100
 

StudioTan

Hold on, friend! I'd love to share with you some swell news about the Windows 8 Metro UI! Wait, where are you going?
I think this is a great strategy by Microsoft. The option to buy the consoles outright upfront will always be there but for people who can't afford it this isn't a bad deal in the end.

Imagine if the PS3 had been available at launch for $199+$12/month on a 3 year contract. I think it would have done well.
 

donny2112

Member
Sony could have benefited from something like this at PS3 launch.

In 2006, people were already paying for Xbox Live. What did PS3 have at launch that could warrant a monthly subscription fee? Maybe PS4, though, which, again, is probably what Microsoft is looking at (i.e. next-gen).

and black friday deals your pretty much waking up at 1:00am to camp, in the cold to save $100

No. Even Radio Shack had those 360 deals. It was pervasive. You could even skip Black Friday and get almost the exact same deal through Gift Cards all through December.

Edit:
Heck, even through most of January, Amazon had it with $50 in Amazon credit (probably trying to clear out stock, since December did not have the usual bump in 2011).
 

Raide

Member
This has to be Microsoft testing the waters. If this is successful in any way you better believe we'll see this next gen. Good business move in this economy IMO

For those that have the cash, they will buy it as normal but this certainly gives other people an option if they really don't want that massive outlay at launch. Imagine if they sold the 720 at a reduced price due to having a Contract as well. Not everyone likes that idea but I am sure plenty of people would jump on that if they could and it was reasonable.
 

alphaNoid

Banned
If next gen systems are like $500 but offer this kind of entry point for $99. I'm going to buy it like that probably. Not sure yet though, I"ll probably still wait for a hardware revision and a price drop before even dipping in.
 

Vanillalite

Ask me about the GAF Notebook
If next gen systems are like $500 but offer this kind of entry point for $99. I'm going to buy it like that probably. Not sure yet though, I"ll probably still wait for a hardware revision and a price drop before even dipping in.

Yeah I'm at the point where I refuse to jump in until their is at least 1 of the 2 if not both done ie a price drop and/or hardware revision. Just feel like I can wait it out, and feel much happier in the end like I did with the 3ds.
 
Awful.

But people are so dumb, this will probably sell enough to justify this strategy going forward.
Soon, all mfgrs will offer this plan.

Congrats, consumers! We'll subscribe to anything!
 

CTE

Member
I don't know, is it? Do they do a credit check when you get a cell phone/plan?


Yes. Your credit is checked when applying for a cell phone plan on contract. If it isn't very good, you'll have to pay a fee to get the phone. Rogers and Telus will have you pay up to $200 if you don't pass the credit check and still want the plan.
 
In 2006, people were already paying for Xbox Live. What did PS3 have at launch that could warrant a monthly subscription fee? Maybe PS4, though, which, again, is probably what Microsoft is looking at (i.e. next-gen).

No, I meant they could had some sort of contract deal subsidizing the cost of the PS3 which was $600 at launch here in the US and a lot more in other countries.
 
this will probably sell enough to justify this strategy going forward.
This is my biggest concern. XBL proved that people would pay for something that was essentially free up to that point (not counting Sega Net). This contract based model will probably start a new, unwanted trend if it sees even mild success.
 

Vanillalite

Ask me about the GAF Notebook
It's right in the OP. MS sells this exact same package upfront for less. Buy that, save some money, and don't have to worry about making credit card transactions with MS or damaging your credit report.

Actually that's FALSE.

It's 110% false.

This EXACT same package costs $470 MSRP. The cost for this is $459. Everyone quoting the $420 number isn't comparing the exact same package. They are ignoring the extra year warranty.

It's gaming journalism/tech journalism though. Why would I expect people to do their due diligence and compare the right things.
 

iNvid02

Member
If I were to get an Xbox now it would be to play the handful of exclusives, a used one for much less would do the job
Most of those games don't need a gold sub to be enjoyed , I don't get who this bundle appeals to
 
Actually that's FALSE.

It's 110% false.

This EXACT same package costs $470 MSRP. The cost for this is $459. Everyone quoting the $420 number isn't comparing the exact same package. They are ignoring the extra year warranty.

It's gaming journalism/tech journalism though. Why would I expect people to do their due diligence and compare the right things.

Who gives a fuck about paying more for an extra warranty? Certainly not this imaginary person who only has $99 to spend on toys at any given moment. Or are Xbox 360s still that unreliable?
 

StudioTan

Hold on, friend! I'd love to share with you some swell news about the Windows 8 Metro UI! Wait, where are you going?
So what happens at the end of the contract?

You keep the console and have to pay for Live separately if you wish to keep your Live subscription.
 

TRios Zen

Member
I'm not sure I understand why some people have a problem with this plan:

1) The premium for buying a 360 on this contract (ie not having to come up with the cash up-front for a Kinect, 360 and 2 years of live) is $40. And if you count the extra year of warranty, it's probably a wash.
2) You DONT have to buy it this way...you want any piece separately, or don't want some pieces at all.. then buy what you want.

So if you won't use it you don't have to, but if you think it would help you, you can buy it...it's just another choice in the market place.

To be honest, this is NOT for me - I'll shop around for sales on Live, and have no problem with the initial investment required for a console, but I don't have a problem with other people having this option.
 

venne

Member
Still don't see why this is big news.

They could have made more waves and made a little more money by going free with $20 a month over two years.
 

Vanillalite

Ask me about the GAF Notebook
Who gives a fuck about paying more for an extra warranty? Certainly not this imaginary person who only has $99 to spend on toys at any given moment. Or are Xbox 360s still that unreliable?

That's moving the goal posts to a different field with a different argument.

The key is comparables. You are comparing buying the system on contract from MS at their contract MSRP verse buying all the individual components from MS at MSRP. That's the only way you get EXACT comparables.

Whether you can get something on sale or whether you give a fuck about the kinect etc... is a totally different standing topic. MSRP comparables of the exact same offer equal out to what I said above.

Whether you acknowledge this fact is up to you, but it doesn't change the facts. $300 is the MSRP on a Kinect Arcade Bundle. $60 is the MSRP on live for a year. $25 is the MSRP on a year warranty for an Xbox 360 S Arcade Unit. $25 is the MSRP on a year warranty for a Kinect sensor.

No amount of rage or giving a fuck actually changes those facts.
 

donny2112

Member
ITT we compare holiday sale prices to spring MSRP.

This is getting ridiculous. "Oh, no! It's not exactly the Black Friday price!"

$277 w/shipping from Amazon third-party seller.
$97 for two years of Live from Amazon.

That makes $374 for the same system (minus extended warranty, which isn't particularly necessary anymore since Jasper from my understanding) compared to $459 for this "deal."

Main point has never changed. There are much better deals available basically year-round. But that's also, again, probably not the point of this move by Microsoft. It's testing the waters for next-gen.
 
Actually that's FALSE.

It's 110% false.

This EXACT same package costs $470 MSRP. The cost for this is $459. Everyone quoting the $420 number isn't comparing the exact same package. They are ignoring the extra year warranty.

It's gaming journalism/tech journalism though. Why would I expect people to do their due diligence and compare the right things.

The "extra year warranty" is consistent with the "add 'value' irrespective of utility, but don't lower actual cost" modus operandi of the console mfgrs this gen. But again, consumers are dumb enough to keep buying consoles at the prices they are selling at, so that's why they're priced that way.
 

alphaNoid

Banned
It's right in the OP. MS sells this exact same package upfront for less. Buy that, save some money, and don't have to worry about making credit card transactions with MS or damaging your credit report.

I'm confused, it offers a different payment plan as an option to the consumer. How is that bad? Some consumers don't want to pay full MSRP for devices so a smaller front loaded investment with additional monthly payments spread out over a contracted term works better for them.

And by some consumers I mean just about every smartphone user, and iPad user. Why can't that apply to consoles? Its not forcing anything down anyones throat, it simply provides more options for consumers.

It doesn't make anyone a sucker.
 

KageMaru

Member
Those termination fees...

Actually aren't that bad...

Still this whole concept makes me want to vomit.

Why? Honestly question.

Termination fees for consoles.... :(

Remember the days when you didn't have to worry if you had enough cash in your bank account at the end of the month to pay for your console you bought a year ago.

We still live in those days since this is entirely optional =p

I wonder what this means for a 360 price cut. They wouldn't announce this and the current pricing structure a month before a price drop(or say kinect being bundled in for free now instead of a price drop) would they?

This is my biggest question as well. I imagine they probably won't cut the price of the system until late this year anyways, but does that mean they'll automatically adjust the monthly prices of this program to reflect the system's new price or will they hold firm on the monthly price based on the time of the purchase.

I'm not sure I understand why some people have a problem with this plan:

1) The premium for buying a 360 on this contract (ie not having to come up with the cash up-front for a Kinect, 360 and 2 years of live) is $40. And if you count the extra year of warranty, it's probably a wash.
2) You DONT have to buy it this way...you want any piece separately, or don't want some pieces at all.. then buy what you want.

So if you won't use it you don't have to, but if you think it would help you, you can buy it...it's just another choice in the market place.

To be honest, this is NOT for me - I'll shop around for sales on Live, and have no problem with the initial investment required for a console, but I don't have a problem with other people having this option.

People just love to hate, you'll learn that the more time you spend on GAF. =p
 
Seems like a good way to test the waters to see how the public reacts to this system, if it's well received they can do this day one for their next system especially if it's as powerful as rumored. Flash back to the PS3 imagined if they had went "599 USD or you can pay 99 USD plus 15 dollars over the next 3 years all under warranty" Sony probably would have moved a LOT more PS3s earlier in the consoles life.
 

Vanillalite

Ask me about the GAF Notebook
This is getting ridiculous. "Oh, no! It's not exactly the Black Friday price!"

$277 w/shipping from Amazon third-party seller.
$97 for two years of Live from Amazon.

That makes $374 for the same system (minus extended warranty, which isn't particularly necessary anymore since Jasper from my understanding) compared to $459 for this "deal."

Main point has never changed. There are much better deals available basically year-round. But that's also, again, probably not the point of this move by Microsoft. It's testing the waters for next-gen.

True, but this deal is being sold directly from MS. You expect the company who has set their MSRP to not actually use their MSRP? Nobody said you can't get deals else where even at this time of year. You're stupid to ever pay the full price for live as that shit is eternally on sale on the internet.

None of this changes the MSRP though nor does it change the MSRP comparables which so many gaming/tech sites are getting wrong.

The "extra year warranty" is consistent with the "add 'value' irrespective of utility, but don't lower actual cost" modus operandi of the console mfgrs this gen. But again, consumers are dumb enough to keep buying consoles at the prices they are selling at, so that's why they're priced that way.

I don't disagree with this, but it's a different topic of discussion than the one I was having.

PS: This is all coming from someone who's ditched their 360 because I'm just over ever paying for Gold again in it's current form.
 

Pociask

Member
Good strategy from Microsoft, good deal for consumers. Without any extra services as teased, though, I won't bite.
 

sangreal

Member
Termination fees for consoles.... :(

Remember the days when you didn't have to worry if you had enough cash in your bank account at the end of the month to pay for your console you bought a year ago.

I do, but its been over a decade since Sega introduced the ETF for consoles with Seganet rebates.
 

donny2112

Member
None of this changes the MSRP though nor does it change the MSRP comparables which so many gaming/tech sites are getting wrong.

Yeah, definitely. Maybe when this kind of thing becomes available through regular retailers (e.g. for next-gen), they'll even have sales on that. Include a free game or gift card with the purchase and 2-year subscription, for example.
 
Actually that's FALSE.

It's 110% false.

This EXACT same package costs $470 MSRP. The cost for this is $459. Everyone quoting the $420 number isn't comparing the exact same package. They are ignoring the extra year warranty.

It's gaming journalism/tech journalism though. Why would I expect people to do their due diligence and compare the right things.

This is what I have been saying. It seems like people are just trying to nitpick with this deal. If you don't want it, then just buy the system like you normally would, if this interest you then have at it. Not sure why its getting so much hate, it isn't forced.
 
This is getting ridiculous. "Oh, no! It's not exactly the Black Friday price!"

$277 w/shipping from Amazon third-party seller.
$97 for two years of Live from Amazon.

That makes $374 for the same system (minus extended warranty, which isn't particularly necessary anymore since Jasper from my understanding) compared to $459 for this "deal."

Main point has never changed. There are much better deals available basically year-round. But that's also, again, probably not the point of this move by Microsoft. It's testing the waters for next-gen.

And Amazon makes up what, 1% of monthly sales? No one has argued that you can't get a 360 cheaper anywhere, or some good game bundles, if you're a savvy consumer. To the average person who walks into Walmart or Gamestop or TRU (or gasp, a MS store), the 360 is going to have a $299 pricetag, 1600 MSP cards are $19.99, and a year of LIVE is $59.99. For 10 and a half months out of the year.

This deal isn't for CAG shoppers and core gamers, it's for people who want to walk out of a store with an Arcade 360 and Kinect Adventures for $99 right now.

If there is an official price cut this year, they may even cut this deal to $49 up front or completely subsidize the system.
 

Vanillalite

Ask me about the GAF Notebook
And it doesn't even have a HDD? God damn MS. Really disgusting "deal"

And this has what to do with this deal?

I swear all of the shit people are bitching about have little or nothing to do with this deal.

You're bitching because the $300 Kinect Bundle doesn't have a HDD. So it's not the deal your pissed at. It's the bundle, but this bundle has existed for FOREVER now. Again it's nothing to do with this new payment method.
 
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