110°

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.

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wanderson75.net
Sgt_Slaughter4368d ago

Hopefully if they do it'll be optional.

darthv724368d ago

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.

IHateYouFanboys4367d ago

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.

LOGICWINS4368d ago

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.

Godmars2904368d ago

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.

mushroomwig4368d ago

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

LOGICWINS4368d ago

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_Bogart4368d ago

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

BinaryMind4368d ago

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.

wanderson754368d ago

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).

Godmars2904368d ago (Edited 4368d ago )

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.

TekoIie4368d ago

"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...

testerg354368d ago

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

No_Pantaloons4368d ago

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

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60°

Pacific Rim Pinball comes to Pinball FX

This could be fun as they make great tables. Go big or go extinct. Prime your senses for a neural handshake and step into the cockpit of a Jaeger. It is on you to cancel the apocalypse when Pacific Rim Pinball comes to Pinball FX on May 16.

260°

Microsoft’s Surface and Xbox hardware revenues take a big hit in Q3

Microsoft just posted the third quarter of its 2024 fiscal financial results. The software maker made $61.9 billion in revenue and a net income of $21.9 billion during Q3. Revenue is up 17 percent, and net income has increased by 20 percent.

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theverge.com
darthv721d ago

Xbox content + services up 62% while hardware down 31%... seems about right with the way they tout you don't need the hardware to play. People can play on their phones or smart tv or other means. I don't hardly play on my consoles directly since getting devices like the logitech g-cloud and ps portal. Which is to also say I have been playing more digital than physical because of these devices.

solideagle11h ago

you should apply in MS PR team buddy, I think you will do a great job in my humble opinion :)

Sonic18818h ago

I thought darthv72 and Obscure_Observer already work for Microsoft 🤔

dveio8h ago

MS: "Xbox services and content without AB up 1%, with AB up 62%. Hardware down 31%. In total a loss of 350 mill."

darthv72: "Seems about right."

MS: "Excuse m ..."

darthv72: "I don't hardly play on my consoles directly."

MS:

Lightning773h ago

What he said was facts. How he plays games is no concern of you. Don't get too mad about it.

Cacabunga10h ago

I can tell people like you are an absolute minority..

If service is up means their fans and fanboys accepted this model and subscribed to it. The near future you will see a big decline because the service is saturated.

shinoff21839h ago

But that's been ms for years. When things aren't going their way they try to change the way things are said. For instance console sales are down, they stop telling how many sold instead telling us how many hours spent in halo or headshots. So it makes sense console sales down just say people are playing on more devices then previous. What they won't say is how many xbox players jumped ship to ps5.

Cacabunga8h ago

Hardware sales are so bad that Sony and Nintendo are blowing the sales off the water with their hardware.

If Xbox are losers, others aren’t..
Xbox already tried everything with Xbox live then subscriptions went down so much that they had to find something else. Their fans subscribed then reached saturation rather quickly.

Hardware and exclusive games is where it’s at! Keep gamers excited, announce decent software and people will support you

itsmebryan4h ago

@shin
Well keep it simple Sony 's operating income is down 26% and Microsoft's is up 32%. No MS spin there, just facts. 😉
Cheers

romulus233h ago

Odd that a company that touts you dont need the hardware to play is already touting another console in the works.

darthv723h ago

They are not reliant on the HW but still want to maintain a presence (no matter how small) is a good thing. It shows commitment to the craft. It reminds me of SNK and how they made games for their own hardware (Neo Geo) while also making them for others because they knew there was a market to do so. They knew they would sell more to others but also sell to their own niche fan base.

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purple10113h ago

Xbox hardware revenue tanks to lowest point of Xbox Series generation

Profchaos12h ago

I'm not surprised surface is struggling they aren't relevant anymore

DOMination-2h ago

In the last two years they've started exiting the consumer market altogether. All of the newest Surface products are business models only. They can't seem to work out what they want to do with it.

XBManiac12h ago

Too expensive hardware when others offer the same or more for less? Good work, Green Team.

SimpleDad11h ago(Edited 11h ago)

"Despite some early successes for Xbox games on rival platforms, Xbox hardware is down by a massive 31 percent this quarter."
"Without Activision Blizzard, Microsoft’s overall gaming revenue would have actually declined this quarter."
"Xbox content and services would have only been up a single percent without Activision Blizzard..."
"It looks like next quarter is going to be a similar story for gaming at Microsoft, too."

That is crazy... so A/B/K is carrying the whole Xbox gaming.
Oh and Microsoft will be fine. Windows, Office and Cloud are growing with each pc purchase.

purple10111h ago

Activision: "we gonna need a bigger rucksack/backpack please"

Microsoft: "why's that"

Activision: "to carry yo' weak ass'

Profchaos11h ago(Edited 11h ago)

Top brass have also wanted to start seeing returns on the 100 billion they have put into various Xbox related moves so seeing more multiplatform games is highly likely especially from abk

It's basically saying that PlayStation is the reason Xbox is afloat right now thinks to Ps5 versions of COD

Kornholic9h ago

So basically PS and PC gamers' money is keeping Xbox on life support.

MrDead2h ago

The only growth MS will get out of the console industry is if it supports it's rivals platforms. Xbox is a pointless machine now. I can see them on a big push for live next, and they won't give up on trying to buy Steam.

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140°

Why Monopolies In Gaming Must Not Be Allowed

As of right now, there are no monopolies in the games industry, and for the sake of the medium as a whole, they never should either.

thorstein22h ago

Shouldn't be allowed in any field.

Inverno18h ago

And yet the biggest tech companies in America are essentially that. They buy up all the small comps only to kill them off and steal what they have, and if they can't buy em they bleed them to death.

jwillj2k417h ago

Eventually they’ll realize the value is with the employee not the company. Buying an IP means nothing if the people who contributed are let go. They’ll get it one day.

MrCrimson17h ago

tech is different because they buy threats and then kill them. Twitter bought Vine and did nothing with it. Despite people seemingly liking it. Could've had tiktok a decade before bytedance. go figure.

Zenzuu18h ago

Monopolies shouldn't be allowed regardless. Not just for gaming.

MrCrimson17h ago

They buy IPs not talent. That's why these buyouts never work and the IPs die. Right now it's too expensive to develop games - but I expect that to shift maybe as AI tools can make it easier. The best games have been indie games for awhile as big developers fuck their ips to death with "games as a service" -