Report: Microsoft Might Launch $99 Xbox 360 With Monthly Payment Plan

[wingzrow]

http://www.theverge.com/2012/5/2/299...sidized-bundle

http://kotaku.com/5906987/report-mic...y-payment-plan

"Microsoft may launch a $99 Xbox 360 package attached to a two-year $15 monthly subscription plan, according to a new report.

The Verge says the bundle, which could ship as early as next week, will include a 4GB Xbox 360, Kinect, and an Xbox Live Gold subscription. You'll have to dish out $99 upfront and then $15/month over the next two years, which comes to a total of $459.

Naturally, there's an early termination fee if you break your contract ahead of time. The Verge says Microsoft is positioning this new bundle as a competitor to entertainment services like Apple TV and Roku.

According to the report, this new bundle will only be available at official Microsoft Stores. No word whether it will be available online or brick-and-mortar only.

I've reached out to Microsoft for comment and will update should they respond.

Update: Microsoft's official word is "no comment."

"We haven't made any announcements, and we don't comment on rumor or speculation," a Microsoft spokesman told Kotaku."

[Retrocade Fantasia]

Why the hell not?

More proof to me the next XBOX isn't even CLOSE to coming out.

[Kitsune Sniper]

I'd buy it, but not with a 4 GB hard drive. :\

[j_factor]

Uh, yay? They could've done this a long time ago.

[Retrocade Fantasia]

I'd buy it, but not with a 4 GB hard drive. :\

4gb flash memory, you can buy the HDD separate though

[The 1 2 P]

For another $100 you could have gotten a 250 gb 360 slim, a copy of Fable III, a copy of Halo Reach and 3 months of XBL gold. Of course, you had to buy this during the three day Black Friday weekend last year. Thats what I did. And if you weren't into Fable or Halo(for shame) you could have sold those and made your bundle even cheaper. But if Microsoft was going to actually launch this $99 bundle I think the holidays would be the best time to bring it to market.

[Ryudo]

Anyone who buys this is an idiot. You have to pay 460$ in a span of two years not counting games and such. Just spend the extra 100$ upfront.

[megasdkirby]

Anyone who buys this is an idiot. You have to pay 460$ in a span of two years not counting games and such. Just spend the extra 100$ upfront.

Many are idiots. Just look at people who choose to "rent to own" at Rent-A-Center...a $200 console ends up costing them two to three times that, depending on the situation.

[jonebone]

F'in GENIOUS! Of course it's for idiots, but there's so many idiots that live paycheck to paycheck! Those types of people would gobble this up, Microsoft is onto something here.

And the rest of us are unaffected so no need to get pissy.

However, if they made all gaming a mandatory subscription service, I'd cut ties entirely.

[Collector_Gaming]

Many are idiots. Just look at people who choose to "rent to own" at Rent-A-Center...a $200 console ends up costing them two to three times that, depending on the situation.

or those crazy people who buy a 20k brand new car and do a 7 year loan through the dealer...... oh wait.........

[Frankie_Says_Relax]

Feel free to correct me on this, but my fast math is:

Regular 4GB XBOX 360 = $200

XBL = $60 per year MSRP (with no obligation to renew)

Total deal w/ 2 years XBL = $420 (or less depending on deals, sales, etc.)

Where are the savings on this payment plan version?

Where is the incentive? JUST to go home with an XBOX 360 for $99?

[kupomogli]

So what about those people who don't have the internet. How are they supposed to set up this $15 monthly charge? Will the console just not work for them?

If anyone finds out that you can purchase the console for $99 and then make no commitment to XBL, I'll pick one up. Not interested in XBL, but I am interested in getting another 360 for exclusives and the only console version of Skyrim that's worth a damn.

[Bojay1997]

It's really a cable service style model. Most cable systems charge up to $10 per month for a cable box and another $10+ for DVR service despite the fact that you can buy your own cable box and DVR for a couple hundred dollars and just rent a cable card for a few dollars a month. Although I wouldn't want to do this for video game consoles, there are millions of people who do for cable right now which isn't all that different. It also allows people with not a lot of disposable income or an inability to save their money the ability to get a console now rather than waiting. Although it doesn't make financial sense, I can still see people doing this.

Feel free to correct me on this, but my fast math is:

Regular 4GB XBOX 360 = $200

XBL = $60 per year MSRP (with no obligation to renew)

Total deal w/ 2 years XBL = $420 (or less depending on deals, sales, etc.)

Where are the savings on this payment plan version?

Where is the incentive? JUST to go home with an XBOX 360 for $99?

[Gameguy]

or those crazy people who buy a 20k brand new car and do a 7 year loan through the dealer...... oh wait.........

There's a bit of a difference with $200 and $20000, if you need a payment plan on a $200 luxury item you really shouldn't be buying it as you can't afford it. Unless this is somehow aimed at kids with a limited allowance.

[Bojay1997]

There's a bit of a difference with $200 and $20000, if you need a payment plan on a $200 luxury item you really shouldn't be buying it as you can't afford it. Unless this is somehow aimed at kids with a limited allowance.

Sure, but think about how many people buy lots of small items on a credit card with 20%+ interest rates. This plan adds $39 over full MSRP which is basically like paying 5% interest per year. Really not that bad if you think about it compared to maintaining a credit card balance, but certainly not as good as paying cash and also being able to get certain components cheaper like XBL or even the console since many retailers have better pricing even when it's not Black Friday.

[Gameguy]

Sure, but think about how many people buy lots of small items on a credit card with 20%+ interest rates.

megasdkirby already answered that.

Many are idiots.

There's a reason why a large percentage of the population are now in debt and/or have no savings for retirement. As of a couple of years ago it was 43% of Americans having less than $10,000 saved for retirement.

http://money.cnn.com/2010/03/09/pf/r...nt_confidence/

EDIT: I found a more recent article from this year. 60% of workers have less than $25,000 saved for retirement.

http://www.reuters.com/article/2012/...82C16Z20120313

[Bojay1997]

Ok, but so what? You're not going to convince the vast majority of Americans to save more for retirement or incur less credit card debt simply because you think they should. People were arguing about why Microsoft would offer this and why people would buy it. I think there are reasons on both sides, although I agree with you that people shouldn't be incurring debt they can't pay off on a monthly basis. That doesn't change the fact that this offer, if it is even real, is a better value than rent to own or maintaining a credit card balance over six months or more to buy the console and Kinect.

megasdkirby already answered that.



There's a reason why a large percentage of the population are now in debt and/or have no savings for retirement. As of a couple of years ago it was 43% of Americans having less than $10,000 saved for retirement.

http://money.cnn.com/2010/03/09/pf/r...nt_confidence/

EDIT: I found a more recent article from this year. 60% of workers have less than $25,000 saved for retirement.

http://www.reuters.com/article/2012/...82C16Z20120313

[LaughingMAN.S9]

Feel free to correct me on this, but my fast math is:

Regular 4GB XBOX 360 = $200

XBL = $60 per year MSRP (with no obligation to renew)

Total deal w/ 2 years XBL = $420 (or less depending on deals, sales, etc.)

Where are the savings on this payment plan version?

Where is the incentive? JUST to go home with an XBOX 360 for $99?

exactly, i'm over here thinking i woke up in the bizarro universe or something, lol like "how in the blue fuck is anyone getting a deal here???"

[heybtbm]

Feel free to correct me on this, but my fast math is:

Regular 4GB XBOX 360 = $200

XBL = $60 per year MSRP (with no obligation to renew)

Total deal w/ 2 years XBL = $420 (or less depending on deals, sales, etc.)

Where are the savings on this payment plan version?

Where is the incentive? JUST to go home with an XBOX 360 for $99?

exactly, i'm over here thinking i woke up in the bizarro universe or something, lol like "how in the blue fuck is anyone getting a deal here???"

Take a deep breath.

I don't recall Microsoft touting this as a cheaper alternative. It's just cheaper up front. Similar to the monthly or quarterly XBL subscriptions...cheaper in the short-term but more expensive over time. In the end it's just another option for those who want an Xbox 360 but don't make good long-term decisions with money. Credit card companies have been abusing that crowd for years, why can't Microsoft get in on that action?

[Gameguy]

Ok, but so what? You're not going to convince the vast majority of Americans to save more for retirement or incur less credit card debt simply because you think they should. People were arguing about why Microsoft would offer this and why people would buy it. I think there are reasons on both sides, although I agree with you that people shouldn't be incurring debt they can't pay off on a monthly basis. That doesn't change the fact that this offer, if it is even real, is a better value than rent to own or maintaining a credit card balance over six months or more to buy the console and Kinect.

I'm sure people will take advantage of this plan, and it is better than the alternatives you've mentioned. It's just that if someone needs a payment plan on a $200 entertainment device they probably shouldn't think about buying it, that doesn't even include the cost of games. I understand payment plans with appliances, if a major appliance breaks unexpectedly on you it can cost hundreds or thousands of dollars to replace them and you can't exactly do without a refrigerator or stove while trying to save up enough to buy one in full. Idealy you would have enough in savings to pay for it, but I can understand if some people can't do that. Nobody thinks anything about mortgages, it's expected that you have to pay interest on some things as the cost is too high to pay all at once. I'm not against paying interest on everything, it's just that $200 really isn't that much money and if you can't pay that much at once you really have other problems to worry about.

I'm used to buying things off craigslist and collectors so I'm used to spending cash to get what I want, if someone posted a great lot or collection for sale I would need enough cash available to buy it. Nobody on craigslist would accept a payment plan. I don't consider myself having that much money to spend on unnecessary things but I would have $200 available to spend if I needed it, I'd rather spend it on a huge bundle of older consoles and games instead of just a new Xbox console but that's probably just me.