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Microsoft goes live with $99 Xbox 360 and Kinect offer

Monday, 7th May 2012 17:58 GMT By Patrick Garratt

Microsoft has made it’s $99 Xbox 360 offer official in the US.

The bundle includes a 4Gb machine with Kinect for $99. And a two-year subscription to Xbox Live Gold at $14.99 per month.

The make good on the deal, you need to print off the coupon through the link and take it to a Microsoft store.

The subscription plus the initial outlay means you’ll be shelling out $458 in total. A quick pricing for the hardware and two years’ Gold sub on Amazon comes to $436.

This was first rumoured last week.

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27 Comments

  1. kingofscotland

    I think this is a bit of a test really to see if this is something that could work for next gen.

    TBH with the price of xbox just now – why bother?

    But for next gen xbox and ps4 then this could be a great way of getting early traction – lets face it how many iphones would have been sold if you had to shell out £500/£600 instead of ‘free’ on a contract.

    If next gen systems launch at £400 then this could work, more people buy early rather than waiting on pricedrop

    #1 3 years ago
  2. Patrick Garratt

    This is really interesting. Could change everything.

    #2 3 years ago
  3. Patrick Garratt

    Just priced it on Amazon. It comes to $436, but this obviously locks you in to the current price.

    #3 3 years ago
  4. kingofscotland

    @Pat

    I really believe this is where next gen could go, especially with the fear of sales numbers for next gen based on the current financial climate, it also makes sense for the console makers to get ‘guaranteed income’ over a period of years rather than peaks and troffs of the lean summer months and crazy holiday season and for software makers it means bigger install base quicker which gives them a bigger shot at making profit on early lifecycle games

    Its the future

    #4 3 years ago
  5. Patrick Garratt

    Yep. Makes sense.

    #5 3 years ago
  6. Gekidami

    …But quite a few retailers will already let you pay in instalments, and the interest would probably come to the little extra MS is getting out of you Vs. Amazon anyway.

    #6 3 years ago
  7. kingofscotland

    Gek, to my knowledge any retailer that lets you pay in instalments are targeted at low income households and have crazy interest – places like Brighthouse etc

    #7 3 years ago
  8. Gekidami

    ^ Not really, pretty much any catalogue will let you pay in instalments and the interest never really comes to that much, some even offer no interest. Interest generally depends on the price of the product and the number of instalments, its never ‘always’ high.

    #8 3 years ago
  9. kingofscotland

    Just checked a random website that allows you to pay up and for xbox it would cost 24 months x £16.90 and thats without Kinect and 2 year of Live Subs.

    So thats £405.60 and then add Kinect and 2 year sub so it is certainly a better deal than currently on offer.

    #9 3 years ago
  10. kingofscotland

    Thats not to say they are all the same, just an example of certain companies that target the lower income households to give them ‘options’ and screw them over at the same time.

    But you’re right Gek you can sometimes get interest free etc.

    #10 3 years ago
  11. Rhythm

    Catalogues always charge crazy interest or add unbelievable upfront surcharges. Places like BrightHouse claim the “retail” price of a console is around double what it actually sells for

    What MS is trying here is very brave but could change everything. They want to charge upwards of £500 for a new console to justify R&D etc but currently can’t, as they’d be laughed out the market. Yet anyone with a smartphone wanders round “purchasing” a £500 handset every two years. This contract system on a new console would make signing up for that brand new latest Xbox a much easier decision – no longer just the realm of the foolhardy early adopter. The high “contract-free” price could/would be hidden and turned into something of a non-issue

    #11 3 years ago
  12. kingofscotland

    @11 Exactly – I’d never pay £500 for a phone but don’t think twice about the ‘true’ cost of my contract.

    It makes complete sense for Next Gen Systems expecially because they can choose to bundle in 2 years subs/ps+ etc so there is no further monthly cost other than the games you choose to buy.

    #12 3 years ago
  13. Ge0force

    I don’t like this. It’s just a lame trick to get more people into Gold subscription. which is not a good thing, since online gaming and apps are free on EVERY other platform.

    this could change everything, but not in favour of our wallet.

    #13 3 years ago
  14. OlderGamer

    There is a large difference in the per month charge of xblg now vs an offer like this. I get that the system is factored into that price, but does the average person on the street?

    Or do they believe that xblgold is normaly 15/month, and they would have to pay that anyways should they not take advantage of this offer/deal?

    Does this preview a dramatic jump in xblgold fees? 15/month is what 3-5X the normal price?

    So lets say next gen you buy a bundle like this, get your xbox and 2 years of gold. Will your next few years of gold also be 15/month?

    What about Sony? They don’t mandate PSN+, is that going to change next gen? If not, how could they put together a package like this? If they do charge, how are they going to compete?

    This is very interesting to say the lest. Kind of makes me think MS is lining up to replace your cable/sat tv service by offering comparable services(at comparable prices which will go up as the content does), and video games.

    If other companies want to stay in the game they better move fast. if MS offers TV streaming, cloud based game streaming, digitaly recording shows, Netflix, hula, skyTV, social networking AND a Web Browser, they will be very hard to beat. I just bet that services will cost around 50/month.

    #14 3 years ago
  15. HeavyD-Love

    Considering Xbox Live Gold cost me $50 year, and this deal makes you pay $180/year (THREE TIMES AS MUCH!!!) for same thing, this is a complete scam/ripoff…

    http://www.amazon.com/Xbox-LIVE-Month-Gold-Membership-360/dp/B0029LJIFG/ref=sr_1_1?ie=UTF8&qid=1336413510&sr=8-1

    #15 3 years ago
  16. kingofscotland

    @15 – its not the same – You’re getting an xbox and Kinect, do you get that for your $50?

    #16 3 years ago
  17. HeavyD-Love

    ^
    My pretty simple point is…..get the hardware elsewhere, they’re ripping you off for the not needed subscription.

    For example, buy the $300 X360/Kinect bundle, then your $50 subscription for a total of $350 ($400 for 2 years). Much cheaper than this comes out to be.

    Get it now? ;)

    #17 3 years ago
  18. kingofscotland

    I wouldn’t buy it either but I wouldn’t say its a complete scam, as I said I think it’s a great ‘option’ for high price next gen hardware to get quick install which will help software makers get on board early and the higher early install base will hopefully ofset the higher production costs for the new systems.

    #18 3 years ago
  19. DSB

    It’s quite obviously not meant for people who have 300 dollars to spare.

    #19 3 years ago
  20. DarkPyroZXA

    i might just consider getting an Xbox 360 now, i never liked having to pay for being able to play online so i got myself a PS3 so i didn’t have to shell out so much money every year, but this could change that, also i hear that the Xbox with this deal comes with a 2 year warranty as well, which very well offsets a regular Xbox w/ Kinect and 2 years of XBL Gold and only 1 year of warranty, so really this contract is far better than paying up front for all this plus an additional year of warranty

    #20 3 years ago
  21. manamana

    Not only is it a bit steep, most people will sooner or later realise, that a HDD is missing … But on the otherhand, people are also buying overpriced games on demand, so there is defenitely a market for the “offer”. And kingofscotland might be right: it has a gamechanger potential with its monthly fees.

    #21 3 years ago
  22. lexph3re

    It’s also obvious how much of a scam it really is. Locked in price with mandatory payments? So what happens when the systems take another price cut in the next 2 years? The purchaser is still held by contract to pay the full amount. I highly doubt that they will adjust payments with suggested price drops in retail pricing.

    Anyone who buys this becomes stuck in this cycle. Some people may want this, but I don’t. This will not encourage me to purchase the device anymore then prior offers. And this is more applicable to me rather then current install base.

    #22 3 years ago
  23. manamana

    Btw. I paid 36€ for a 12month goldcard at amazon…

    #23 3 years ago
  24. fearmonkey

    I don’t think this is a scam, this for people that want an xbox but cannot afford a big lump payment, it’s not a bad option really. It’s not what I would choose but options are good.
    I wonder with the other posters here if this is something MS might try with the next xbox. I have to admit, if I could get the next xbox for $200 with everything and then a monthly fee, id consider it, but not if its the equivalent of an arcade unit without a HD.

    #24 3 years ago
  25. MrAL_P

    RIPOFF ALERT! This has to be the dumbest attempt to get sales! The only people that will buy this system with THIS DEAL wont be looking at the hidden cost. This deal is like buying an XboX on a payment plan. Your still paying about the same PLUS the XBOX has a limited 1yr warranty. If the system goes out after a year. YOU STILL HAVE TO PAY THE $190 for the Live account, if NOT, the EARLY CANCELLATION FEE will get you. PLUS its a 4GB……4? really? No 250? 4… NO GO Microsoft.

    #25 3 years ago
  26. Deacon

    Admittedly their percentage or APR is actually pretty fair compared to catalogues and other lenders, but it’s not as if getting a console on credit is a new thing – MS are just cutting out the middleman. If you ask me we don’t need more families or young people getting tied into a contract for something they can’t actually afford.

    and $450??? For a tiny HDD 360 and the most over-hyped peripheral in existence? that’s just crazy.
    With 30 minutes shopping around and dropping the necessity for it to be brand new you’d half that cost.

    Seems to me this is very much aimed at semi-clueless parents. It works out to be a pretty expensive ‘media centre’, and I fail to believe anyone serious about games would go for this.
    Why tie yourself in on a two year contract to a company for whom games seem to be bottom of their list of priorities?

    #26 3 years ago
  27. speedxl01

    @3 Please correct your posting, this is obviously MS at it.. again..

    On amazon the 4G 360 + Kinect cost you $275
    2 years of live (biggest robbery) $100
    Grand total $375

    If you buy their offer??
    An initial $99 plus 2 years of forced $14.99 payments = $360
    Grand total $459

    You pay $84 more for nothing (time).
    its a bait to engage on their live gold subscription for 2 years!! and you end paying more…!! What a SCAM..

    #27 3 years ago

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