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[somuchwater]

http://www.theverge.com/2012/5/7/3004973/xbox-360-99-two-year-contract-launch

Just as we reported last week, Microsoft is selling the a 4GB Xbox 360 console with a Kinect for $99 with a two-year Xbox Live Gold contract for $14.99 per month. Unfortunately, you'll have to live near a Microsoft Store to cash in on this deal; you'll need to bring in the coupon (or have the store associate enter a specific offer code) and sign up for two years of service. Overall, this bundle will cost $458.76 over the course of two years (before taxes), as compared to a $299 bundle bought outright, plus two years at $120 — so while you'll save some money off the bat by signing up for a contract, you'll actually spend a little more over the course of the service contract.

Looks like it's US only. Let the "gaming is doomed!" teeth-gnashing begin!

 

[madmackem]

Good for people who cant afford all upfront, i know people who would buy this should it come out elsewhere.

 

[jaydogg691]

Looks like it's a Microsoft Store exclusive for now. Closes MS store for me is in Santa Monica.

 

[Sophia]

As long as contract isn't the only option, then this isn't bad at all.

 

[fluffydelusions]

I wonder if Sony will follow suit

 

[onimushroom]

I guess my opinion of this (seemingly horrible) deal is affected by the fact that in my country almost every store (and their mother) offers payment by installments.

edit: The horribleness that I'm referring to is forced kinect, no HDD, and no edge over the usual payment by installments method.

 

[MatthewB92]

Didn't even know MS had their own stores.

 

[Jhriad]

Contract Terms for anyone that is interested.

 

[Vanillalite]

Didn't even know MS had their own stores.

They have a ton on the West Coast. I stumbled upon like the only living East Coast version once though. They have a big chart showing how they are going to roll out a metric ton of stores over the next 5 years tho.

PS: Offer is basically the same as MSRP if you buying everything separate ie Kinect Bundle + Live + Extra Year Warranty. That being said I'd rather see them just price drop the arcade down to $150.

 

[Banana Kid]

So it's $40 extra. That's not a terrible deal, I guess.

 

[MrGreencastle]

Interesting idea. I'll still be paying up front with cash that I have. I'd rather save first, then buy.

 

[LQX]

Good for people who cant afford all upfront, i know people who would buy this should it come out elsewhere.

Yep, if anything this might bring many more into "HD gaming" as they don't have to front the cost up front. Adds up to a little bit more and prices might drop but 2 years to pay it all off at a set price is very reasonable.

 

[Somnid]

Didn't even know MS had their own stores.

There's only 16 of them right now but they plan to make them into Apple Store equivalents in malls and shopping centers.

 

[Vanillalite]

So it's $40 extra. That's not a terrible deal, I guess.

This deal gives you an extra year warranty though so it's actually $10 cheaper. Your 360 is under warranty during the entire 2 year contract.

 

[Neuromancer]

Weird

7. CREDIT CHECKS.

You authorize us to obtain information about your credit history from credit-reporting agencies at any time. You understand that a credit inquiry could adversely affect your credit rating. You authorize us to report your payment record to credit-reporting agencies.

Edit: I guess it's not weird

 

[Theonik]

Where is that thread about the guy who suggested this for the next Xbox so that crow can be suitably served?

 

[alr1ght]

and goooo Supreme Court!

11.4 Class Action Waiver. Any proceedings to resolve or litigate any dispute in any forum will be conducted solely on an individual basis. Neither you nor Microsoft will seek to have any dispute heard as a class action or in any other proceeding in which either party acts or proposes to act in a representative capacity. No arbitration or proceeding will be combined with another without the prior written consent of all parties to all affected arbitrations or proceedings.

 

[Sophia]

Weird

Isn't that kind of standard for contracts like this? Same with the Early Termination Fees.

 

[Neuromancer]

Isn't that kind of standard for contracts like this?

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

 

[RyanDG]

So what happens if you get banned from XBL?

 

[Truth101]

Weird

No it isn't,

 

[Vanillalite]

Isn't that kind of standard for contracts like this? Same with the Early Termination Fees.

Pretty much my view on this. It's no better or worse than any other kind of similar contract like this.

 

[Sophia]

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

I wouldn't know. I don't own a cellphone. =p

So what happens if you get banned from XBL?

Generally if you're under a paying contract you don't do something so utterly stupid as to get banned. =p

According to the terms, if you get banned from Xbox Live, you get hit by an early termination fee.

 

[krae_man]

I wonder why they just didn't do an even $15/month pronation of the early cancellation fee.

An Early Termination Fee (“ETF&#8221 is a charge made to your credit card if any of the following occur:

If you do not return your Console Bundle during the 30 day Return Period, and you cancel your Subscription before the two year term ends;
If you fail to provide an on time, full Subscription payment and we are required to cancel your Subscription; or.
If you violate the Xbox LIVE Terms of Use, resulting in termination of your Xbox LIVE membership.

LOL when little Johnny does COD Hacks and gets banned causes mom and dad to have to pay the early cancellation fee and lose the remaining time on the two year XBL membership to boot.

 

[Noisepurge]

a 299$ machine comes with a hard drive though? should add that to the price comparison too.

 

[erpg]

With FIFA hacks still happening, tying your credit card to an Xbox for a 15$ monthly sub is probably the worst thing you could do. Please, don't recommend this to anyone.

 

[MMaRsu]

Are there no stores that take credit without taking a cut? I mean what about pawnshops and stuff, you could easily buy a 360 there..

Why would you buy something for 99 dollars with a 2yr sub when it's close to being 150$ for the total package anyway?

 

[Sophia]

Are there no stores that take credit without taking a cut? I mean what about pawnshops and stuff, you could easily buy a 360 there..

Why would you buy something for 99 dollars with a 2yr sub when it's close to being 150$ for the total package anyway?

This is the Kinect bundle that retails for $300 and usually goes for $250 or so in stores. On top of two years of Xbox Live.

 

[cw_sasuke]

a 299$ machine comes with a hard drive though? should add that to the price comparison too.

but without Kinect ?

 

[phosphor112]

Those termination fees...

Actually aren't that bad...

Still this whole concept makes me want to vomit.

 

[Power Glove]

Oh wow, I didn't know there was a MS store here in Austin within walking distance. I should go check this out for some lulz.

 

[Risible]

Spending "a little more"? $300 versus $450 is what I would call a LOT more, as in 50% more. That's fucking crazy.

edit: I see now that the $300 is just hardware, and then there's the two years of Live service. I guess overall it's not as bad as I originally thought.

 

[MoeB]

People who can't afford to buy a Microsoft XBOX 360 in the first place should probably address their financial issues before thinking about having fun by playing video games.

 

[RPGCrazied]

Get rid of the 2 year sub, drop the kinect and I'd buy it.

 

[kittens]

So fucking dumb. $15 a month for Gold evokes major lulz.

Get rid of the 2 year sub, drop the kinect and I'd buy it.

Hah, me too.

 

[Raide]

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

 

[Sophia]

edit: I see now that the $300 is just hardware, and then there's the two years of Live service. I guess overall it's not as bad as I originally thought.

Yeah, when you throw in the two years of Xbox Live, it's not quite that bad of a deal. Of course, if you're one of those people who thinks Xbox Live shouldn't cost anything to begin with...

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

The day a contract becomes mandatory is the day I quit buying from whatever company it is in question.

 

[StoppedInTracks]

You will pay ETF after being banned from Xbox Live? Sounds like a good anti-pirate measure.

 

[Vanillalite]

Those termination fees...

Actually aren't that bad...

Still this whole concept makes me want to vomit.

I get the general idea of hating how people especially in America just string out their lives via credit.

Still not sure why this would be sooo teribad to anyone. It's basically $10 less than MSRP for the 3 things you are getting ie a Kinect Bundle + Live + Extra Year Warranty. Plus the ETF isn't anything outrageous compared to what ETFs usually are.

It's not being made for GAFers, and in general it's not really being made for gamers as it's not the right version of the 360 most gamers should want anyways. It's not as if MS is raking people over the coals with this though.

PS: The bigger gamer deal IMO would be the Xbox 360 S 4 gig Arcade dropping to $150 MSRP for gamers.

 

[donny2112]

but without Kinect ?

Yeah, the Black Friday deals were way better than this. Weren't there 4GB Kinect Bundles for $200 then?

 

[Sho_Nuff82]

This probably won't have a huge impact on NPD sales as MS stores can't be expected to move very high volume, but it is undoubtedly testing the waters for a larger rollout.

Spending "a little more"? $300 versus $450 is what I would call a LOT more, as in 50% more. That's fucking crazy.

edit: I see now that the $300 is just hardware, and then there's the two years of Live service. I guess overall it's not as bad as I originally thought.

The math was already done in the other thread's original article - it's $460 vs $420, not counting the extra year of warranty.

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

Yes, yes they do. At least when you buy a subsidized phone. Failure to pay your bill during your 2 year contract negatively effects your credit rating.

Are there no stores that take credit without taking a cut? I mean what about pawnshops and stuff, you could easily buy a 360 there..

Why would you buy something for 99 dollars with a 2yr sub when it's close to being 150$ for the total package anyway?

You cannot buy a 360 + Kinect + 2 years of LIVE for $150 anywhere.

 

[maquiladora]

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.

 

[Dreams-Visions]

Yeah, the Black Friday deals were way better than this. Weren't there 4GB Kinect Bundles for $200 then?

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.

 

[fluffydelusions]

Yeah, the Black Friday deals were way better than this. Weren't there 4GB Kinect Bundles for $200 then?

Yeah, I believe so.

 

[Vanillalite]

Yeah, the Black Friday deals were way better than this. Weren't there 4GB Kinect Bundles for $200 then?

Black Friday deals are better for EVERYTHING though. That's why they are frick'n Black Friday/Cyber Monday deals.

PS:

My random stumbling upon basically the only MS store that exists East of the Mississippi.

 

[Hilbert]

I can see myself doing this for next gen hardware. 400 dollars(or so) is difficult to put down at once for a new game console.

 

[fluffydelusions]

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.

Imagine if they ever started capping stuff...500 friend messages per month, 2gb of downloadable content monthly etc lol.

 

[Sophia]

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.

Except this is optional and not even aimed at you. Or your demographic. Anyone who worries about having enough cash in the bank wouldn't be stupid enough to agree to such a contract, and if they are... well, they get what they deserve.

 

[krae_man]

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?

 

[donny2112]

Comparing this to Black Friday prices is inherently unfair.

Then it's also unfair to compare the MSRP for a year of Live to what it can actually be bought for. *shrugs*

My only point is that there have been, and most likely will be again, much better deals for anyone wanting to get a 360 w/ Kinect + 2 years of Live. I doubt Microsoft is counting on this much currently, in any case, though. As repeatedly said since this was first rumored, this is most likely testing the waters for subsidizing a Next-Gen machine in 2013/4. (Edit: Console in 2013, but the subsidizing may not start until 2014 to clear out the early adopters.)

Black Friday deals are better for EVERYTHING though.

Unfortunately, not.