Could The $99 Xbox Usher In Subscription Based Gaming?

W75's Will Anderson weighs in on the good things, and bad, from a subscription based Xbox 360.

[Sgt_Slaughter]

Hopefully if they do it'll be optional.

[saladthieves]

.

[darthv72]

consumers are always looking for a cheaper entry point into something that is popular. Take smart phones for example. Were it not for the deal of a cheap phone coupled with a 2 yr contract most probably wouldnt buy a smart phone. Those things are several hundred $$$ to purchase outright.

That may be a bad example as i am sure there are some phones that are in fact cheaper to purchase but the idea is still relevant. The choices i have if i renewed my 2yr agreement with ATT could get me an iphone or wp7 or any number of droid phones for basically free.

I dont have one because i think the rape plans (sorry...) "rate" plans are just to expensive for what you really get. Some will disagree with me on that and i understand. It's cool...to each their own but I prefer not to pay over $100 a month to have a phone. It is bad enough that i pay $40 a month to use the one I have.

On topic, is there any early termination fee on this $99 360? I would think there has to be something in place for those who just get it for $99 and then stop the service (if that is possible). If this takes off then the likely hood of nintendo or sony offering up similar approach is plausible.

[IHateYouFanboys]

The exit fee is, after 5 months iirc (pay out in full if leave before then), $12 a month for the remainder of the contract - so you basically get the Xbox for the regular RRP if you exit after 5-6 months.

The phone analogy is perfect because that's exactly what this is - discounted hardware with a monthly service fee. Calls/data for phones, Xbox live gold for the Xbox.

I fully expect to see plans of this sort from at LEAST Microsoft for the next generation Xbox on launch. It's a great idea despite what the ps3 faithful will say, as it hurts no one. People that couldn't afford an Xbox can now get one, those who could still can.

[LOGICWINS]

As long as its optional, no problem. But I think sub based gaming could actually take over traditional gaming(buy a console at ONE price in the beginning). It's similar to why things are priced at $399 or $299 instead of $400 OR $300...to make you think that your getting a better deal. If people haven't bitched about this before, don't see why people are bitching now. Thats what companies do, trick you into buying something. This is the way its been for ages.

[Godmars290]

Know this will only be taken as a fanboy comment, but is XBL truly optional when many popular games require online? And the whole point over the $99 Xbox is that its has a two year subscription contract.

At one point everyone was making subscription based MMO for the very reason they created a consistent stream of income. That many are F2P is largely only because there are so many of them.

The warranty scheme Gamestop and many department stores were running a while back, that at one time gift cards had expiration dates, should say that like most, if a company can get money for nothing, it'll at least try while giving no option to the sucker willing to fall for it.

[mushroomwig]

More options wouldn't hurt, it's not like subscription based gaming would be mandatory.

[LOGICWINS]

I think the "fear" is that if Microsoft is successful with this model...then it will be the ONLY option to buy a console. This would mean that everyone would have to pay a small premium long term(for the $99 360 deal, your paying $50 extra than you would have if you purchased a 360/Kinect bundle normally)

But then again, if the 720 and PS4 follow this model and ONLY this model...how would you know your getting ripped off? Everyones in the same boat.

The only difference would be that Sony and Microsoft would be able to capture the market of consumers that won't spend anything over $200 for a console. Personally, I'd do it for the PS4. For $15 a month(including PS Plus membership), I'll do it.

[Major_Bogart]

Microsoft is starting to think their shit don't smell.

[BinaryMind]

Anyone who did the math in their head will find out the total comes to about $459. I don't think many people are going to jump aboard this.

[wanderson75]

I think a lot of people will. There are a lot of people out there that can't save up to slap down $300 right off the bat. Plus it's only $50 more than what it would cost if you paid for the Xbox bundle and 2 years of XBLG anyway ($299 + $120).

[Godmars290]

And because its a cost as applied over two years that many will. Just as some wont even see that.

More to the point will people be looking at the HDD, which I guess is also $99, and not consider it because of its price. Will those people also be looking more at the used game market since they sure as heck wont be downloading anything w/o a HDD.

As I keep saying, some people are going to buy this thinking of it only as a toy for their kids, not really thinking at all which will lead them towards spending more to keep their kids happy, or they're on the South end of the poverty line, might have cable but no internet, and think this will give them internet access.

[TekoIie]

"As I keep saying, some people are going to buy this thinking of it only as a toy for their kids, not really thinking at all which will lead them towards spending more to keep their kids happy, or they're on the South end of the poverty line, might have cable but no internet, and think this will give them internet access".

Buyers ignorance isn't Microsofts fault...

[testerg35]

BinaryMind, it would be pretty much the same if you put it on your creditcard. MS just replacing that part.

[No_Pantaloons]

God NO! Or it will be the end of my console gaming all together.

[SKUD]

I'm not sure whats worst. Finanching an console or having one repo'd.

[KwietStorm_BLM]

This is exactly why I said its not a good thing if its successful, especially with how many dummies there are in the US.

[Wolfbiker]

I think it's a brilliant option, You are simply getting your console in the homes of more people by asking lower entrance fee.

[Hicken]

Brilliant on Microsoft's part, yes. But in no way is it good for gaming. It could easily turn into a way for Microsoft to, say, charge $600 for their next system up front, but then offer a subscription at the same time for two or three years. Most people would go with the subscription because it sounds like a better deal, but it winds up turning into a constant stream of revenue- which would cost the purchaser more in the long run- and has no downside if someone breaks the contract, because Microsoft gets money out of them for breaking the contract, AND they get their system back.

And if other people got the idea to do the same... well, let's just say it wouldn't improve things any. Not to mention that may well open the way for used games to be locked out of consoles as well: since you don't own it until it's paid for, the contract- combined with software and/or hardware components- could limit your ability to use pre-owned products, thus generating more revenue for Microsoft and publishers/developers, and further limiting your ownership of whatever games you buy.

[Series_IIa]

If you look around you'll notice pretty much everything has an optional subscription service.

I've got a subscription service for razor blades, pay a couple £3 for 3 blades and you get a free body. Saving around £7 a month, which at the end of the year is plenty more pints in the pub.

I've also got a subscription on a 3D printer for the workshop, better than paying the £25,000 up front costs and it gets upgraded when a new model comes along.

It has its merits if you weigh up your options.

___________

haha, I got into a pre-release trial for them a couple months back and surprised how efficient it was for me since I go through them a lot and always forget to pick them up!

https://www.kingofshavessub...

[wanderson75]

You guys have subscriptions for razor blades? O.o

[kma2k]

In a way i already have this, i have a subscription to gamefly i pay $24 per month & play any & all games i want.