According to The Verge, Microsoft is about to shake up the entire console industry in a single move, by offering a subscription based purchase model for the 360.
Details are currently a little spare, but it’s expected that the company will offer a 4GB Xbox 360, Kinect and access to Live for just $99, with a monthly subscription of $15, from as early as next week across the United States.
Users will have to pay a penalty if they exit the deal before two years is up, but this is an extraordinary offer and one that’s sure to be attractive to millions.
It is, over the two year period, about $30 more all-in, but everyone loves spreading their payments, right? And you can’t argue that that’s a great deal.
The deal also includes full warranty for the two year period.
gideon1451
So, a phone contract style method of paying?
Amphlett
“It is, over the two year period, about $30 more all-in, but everyone loves spreading their payments, right?” – Nope, just numpties with no financial nous.
Bilbo_bobbins
I don’t understand, yes you spread the cost, but it will be out of date soon from Next Gen plus only 4GB, its worthless?
Good idea for the nextgen models though.
cc_star
Would have thought they’re launching it now so they can fine tune the method in time for next-gen and secondly it will reduce pressure on price-cutting later in the 360’s life when they’ll probably still sell as many 360’s as have already been sold.
Substitute the word 360 for PS3, because it if it works it will be replicated, in fact it makes more sense on PS3 because PS+ includes games.
stonyk
This might have already been mentioned but this idea would be perfect for next gen consoles. They should bring out some super machine costing stupid money (basically a PC for gaming without windows os) and allow purchase over a larger period of time. I’ve had my PS3 for about 5 years I’d guess, so spread a £1000 super machine over a 5 year period and its about £16 a month. Would probably buy it day 1 at that cost.
hazelam
it’d be good for a new console near launch, not an old one maybe a year away from the next generation.
hazelam
so that’s why they’re denying the next gen machine.
An-dz
When the 2 years is up they will do something along the lines of £100 more and we will upgrade you to the new Xbox for another 2 year deal
JesseDeya
Wow. Clever model, sure to sucker in tens of thousands of people.
What this does is highlight to me just how expensive the Xbox experience is (and yes, I own one). I’ve always said the 4Gb model is a false saving, but this takes it to a whole new level.
$99 + 24 x $15 = $460
Let’s not forget sales tax, this is the US we’re talking about…
$460 + 9.60% (National US average sales tax) = $504.16
Add in a 250Gb HDD ($100) when you realise 4Gb is not enough… and you’re in for $604.16 USD.
A quick Amazon search tells me you can get a 250Gb Xbox + Kinect for $394, and 24 months of Live for $87 (2 x $43.50). That’s the same thing for $481 – and you generally don’t pay tax on Amazon purchases.
This so-called “good deal” forces Kinect and Live on consumers, and costs them at least $100 more for the privilege. Now I’m no accountant, but I can assure you paying $500 in instalments over two years will NOT save you $100, no matter what other investments or liabilities you may have.
By contrast, you can by a 320Gb PS3 Move bundle on Amazon for $349.
Frankly I’m amazed people are so dumb.
Foxhound_Solid
Debt recovery agents chasing kids mums who failed to maintain subscriptions. Lol.
Sympozium
Its apparantly just rumour and speculation