220°

Xbox 720 will cost $99 with cable TV subscription, predicts Pachter

IncGamers: Michael Pachter has made a prediction regarding the retail model of Microsoft’s next console, which most of us are calling the Xbox 720 until we know any better.

Pachter, gaming analyst at Wedbush Securities, believes that Microsoft will adopt a pricing model similar to that of a smartphone – with a low up front cost and a rolling subscription.

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incgamers.com
Catoplepas4322d ago

Pachter couldn't predict his own bowel movements, let alone future market trends.

Godmars2904322d ago (Edited 4322d ago )

I agree with you, but still, given that MS is already doing it with the 360, expanding the deal from their own store, its too obvious that they at least wont offer the option.

Unless of course your Pachter. Then you make the comment and expect people to think you're a genius.

AAACE54322d ago

I counted that prediction by saying verizon or att will do it instead!

gaffyh4321d ago

I actually thought this was a good idea when I heard about them doing it with the 360, but a rolling contract would not be wise, especially from the beginning.

Think about it this way:
1. MS would need to partner with a cable company, and therefore share any profits of the subscription service.
2. $99 would never cover the cost of the console itself, meaning MS would be taking a MASSIVE loss. And would have to rely on consumers continuing to pay their contract.
3. This would mean the minimum contract term would have to be 2 years, and for the first year or two, MS' financials would look terrible.

On the other hand, they could charge $399 at launch, and sell to the core gamers for a year or two. Then down the line offer this subscription system, which would then work.

There's also a big issue with this idea as a whole, and that is that the Xbox 720, will use an immense amount of power compared to a cable box. It will also have a PSU and fans to keep it cool, because it is a game machine, and machines like this are not terribly reliable, at least not as reliable as a simple cable box. Unless they can figure out a way to power on part of the Xbox 720, without too much load on PSU and CPU, I can't see this being very viable in the long term.

Godmars2904321d ago (Edited 4321d ago )

You're not factoring in the added charge for XBL. or that more than likely a cable company will be paying them. Especially to have it exclusively tied to them.

Nevermind that we're not talking about gamers, but the general consumer. $99 for a cable box with a social features that also plays console games will be a more appealing notion. Also pretty sure a system could be made with a low power/always on consumption mode for just for watching, and a full on mode for playing games.

The only thing that would truly ruin it for all parties would be another RROD incident. People might be stupid enough to pay $600 over two years for something that'll likely be $400 day one, but if they have to go through several while missing shows, they wont go near it no matter how much damage control is done.

Also, how about just ignoring Pacther's $99 price point. Xbox3 could be $600~$400 day one and $199~$299 with a two year $15 XBL/month deal would be appealing.

NukaCola4322d ago

Pachter doesn't have bowel movements, he is constantly full of crap.

TekoIie4321d ago

That is totally the best insult add-on.....wait for it...... EVER!!!!!!

mochachino4321d ago

Well said bubble earned.

FunAndGun4321d ago

that comment right there deserves a funny bubble.

shutUpAndTakeMyMoney4322d ago

I can't predict my bowl movement.. who can?
oh hold on I feel something.. Be right back.

LAZL0-Panaflex4321d ago

Bowel movements. Awesome. He cant predict his own. Even more awesome.

WeskerChildReborned4321d ago

Haha now that's funny. I wonder why he even predicts anything in the first place. The only ones he'll get right are the ones that are obvious.

+ Show (3) more repliesLast reply 4321d ago
wAnxTa4322d ago

This guy can't predict shit!

Hoje03084322d ago (Edited 4322d ago )

Catoplepas beat you to it.

Edit: Very good point, aviator.
It appears as though we have a silent Pachter fan in our midst.

aviator1894322d ago

Reinforcement is always good, especially with someone like Pachter. :p

LAZL0-Panaflex4321d ago (Edited 4321d ago )

I know he kept saying gears would come to ps3. It wont even come to pc,...why would a microsoft ip come to the competition's console. Maybe when the tablets take over, but not as long as there is consoles will you NEVER see gears on a sony console. Same with halo. Just like you'll never see killzone,god of war, infamous, little big planet, uncharted on nintendo or xbox.

And yes gears is a MICROSOFT ip, because only a retard would alienate pc, ps3 & nintendo. It is not an epic ip and there is no 3 game deal,...it is an every game deal.

majiebeast4322d ago

This guys job must be the easiest thing ever just say random shit and when it doesnt come out 99% of the time just spin it so it looks like you were 1% right.

JBSleek4322d ago (Edited 4322d ago )

Why are people on these forums so rude to this guy? I would be for a subsidized Xbox 720 for $99 if it came with cable or even Xbox Live.

Even if that isn't true a subsidized next generation console is smart if you are willing to spend more over time then cough up all that money at once it's an option.

I don't understand the hate over an analyst who job is to predict he doesn't need to be right.

wages of sin4322d ago

You're absolutely right.

Many of the people here have no cooth, let alone intelligence, just mindless hate and drivel. They don't understand his job at all-they just worship plastic.

bobshi4322d ago

Indeed, when MS announced the $99 Xbox 360 trial - which is now being rolled out after being successful - I thought it would be an ideal test for the potential of having a $99 Xbox 720 on a similar deal.

That puts pay to all of those people crying "economy! economy!" when people say that a console with beefy specs is going to cost a load of dosh that people don't currently have, despite splashing similar amounts on iPhones and iPads.

But why do people buy iPhones? Cos its cheap to buy then a smaller fee per month.

I doubt as many would buy if it was the outright cost only.

dcbronco4322d ago

Who are you people and why are you having an intelligent conversation on N4G?

I think Pachter is off a lot of the time but not on this. Bobshi your point about the economy is a really good reason to do this. The next generation of consoles won't be as expensive to produce as most seem to think and get money from the cable company and the consumer would be a smart way for MS to sell a ton of consoles.

Verizon sells Direct TV in my area since they couldn't sell Fios. No reason why MS couldn't do a deal with the cable company that allows the Xbox to act as the cable box. You get Live and cable and they both make money. That may be the reason for the "always on" section of the leaked 360 specs. A separate APU for the cable box features in the 720 that would be far better than what Motorola is offering now.

I'd consider dropping my Motorola stock if I had some.

Felinox4321d ago

I think $199 with subscription is more likely foe first year at least. Demand will be more than they can keep up with. So theyll definately get th extra $100 a unit.

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50°

Game Studio Closures, Entertainment News, Disney, And More Skewedcast

The full Skewedcast crew back for this episode and Gareth, Justin, Michael, and JoeyZ at Skewed and Reviewed break down the latest entertainment news qith a focus at 40:00 on the Microsoft Studio Closures and how it impacts the game community and what can be done to help offset this negative trend.

200°

What is the point of Xbox?

Xbox has repeated the same terrible mistakes for over a decade. The reason is simple: its priorities are back-to-front.

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eurogamer.net
purple10118h ago

ohhh man, the press really did not like those last closures, their having a field day bashing xbox,

anyway, ive got to nip off to the shops now, i've run out of microwave popcorn.

Jingsing2h ago

Apparently the last 10 years wasn't enough to get the gaming press to notice but as soon as they touch Bethesda it is full on nuclear war. A lot of people in the gaming press seem to have this irrational hard on for Fallout and Skyrim despite the fact they are low quality poor buggy games.
I've grown tiresome of the unbalanced fandom in the gaming press for fantasy games and their ability to just forgive crap so long as it's a fantasy game RPG game all quality concerns are not an issue for them,

anast2h ago

Popcorn has been good lately.

XiNatsuDragnel17h ago

Xbox is getting rightfully roasted here

Einhander197216h ago

The only point to xbox is and always has been to take market share and money from PlayStation and Nintendo, but mostly PlayStation. It's been the goal since sweaty Steve Balmer said it himself.

16h ago
ApocalypseShadow10h ago

Yup. To put Sony out of business because they thought they were a threat to their Windows business.

isarai14h ago

I mean the motto "xbox, the most optional console ever made" was peaked years ago, people are just now taking a step back from deepthroating Phil to see what we've all been seeing for a long time now.

P_Bomb13h ago

I’ve still got friends that main on XB. For their sake, I hope it sticks around. They’ve put everything into that ecosystem. It’s all or nothing.

I wonder if we’ll ever get back the level of competition seen during the 360/PS3 era?

NotoriousWhiz3h ago

Seems like Daddy Microsoft is trying to shut it down. Or at least bring costs under control. On the bright side, it seems likely that acquisitions are going to stop.

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190°

Xbox, do you even have a plan anymore?

TSA asks what is the future for Xbox.

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thesixthaxis.com
Chocoburger18h ago

They clearly never did, hence why they spent so many BILLIONS on other publishers as a last resort.

anast18h ago

They have a plan. It's to move everything toward streaming and mobile. This is just the next step.

Cacabunga17h ago(Edited 17h ago)

With half of the money they spent, they could have been on the very top and the gaming industry would be way bigger than it is.. encourage developers, indies, make them grow trust them and they will deliver.

Tody_za16h ago(Edited 16h ago)

What are you talking about Cacabunga? The Xbox faithful insisted that Microsoft has infinite money, and after Activision they should buy Square Enix and Capcom before Sony does. There was no chance ever that Microsoft would do this. They would use their infinite millions and Bitcoins to invest in 50 new IP and beat everyone.

Tody_za14h ago

Did I really need to add a /s to my comment...

SonyStyled12h ago

The Parent company of Xbox spent billions on publishers, not Xbox

andy8517h ago

To ruin great studios it's looking like

Skuletor17h ago

Sure, a plan to be a more hated game company than EA. Ubisoft were recently giving them a run for their money but I think Xbox have really knocked it out the park with their latest stunt.

neutralgamer199217h ago

Absolutely not, their whole plan is at odd with what MS wants

Phil wants GP to become big
MS wants to sell games and make billions

GP can’t be sustained with AAA games which take 3-5 years and 7 figure budgets. Only go put those games on GP day one. Why do you think games are coming out on other platforms?

People want a change and want Phil gone without realizing if someone new comes along they may want to change everything again so we just keep going in circles. Phil has to realize that and give clear message on the direction of Xbox

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