What Does the $99 Pay-As-You-Go Xbox Say About Microsoft?

Do you like the Roku or Apple TV?'s Jason Fanelli looks at the brand new Xbox 360 that comes with a two-year Xbox Live payment system. Is this the right direction for Microsoft's gaming console?

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StrongMan2752d ago

It's says they just found yet another way to rip off the people.

If you don't believe it's a rip off then do the math.

Dante1122751d ago (Edited 2751d ago )

Wait, what?

XBox 4GB + Kinect + Two Years of XBL
Straight Purchase: $400

XBox 4GB + Kinect + Two Years of XBL
Subsidized Price: $459

Oh Microsoft lol

Edit: @ blue

I pray that this fail. I’d hate to have another carrier situation with consoles.

Lucretia2751d ago

the idiots will never understand this.

MS knows the average Idiot is too stupid to do math so they will think its a great deal. They will even validify this by saying its like financing an xbox so the 15$ monthly payments wont hurt them that much.

they also forget that its only a 4gb system, So imagine.

what idiot would buy this over the norm 300$ version? or a ps3? especially sionce the ps3 has free online and yadda yadda.

and i mean kinect isn't even good, people are starting to realize that now and i dont think they are as stupid as they once were.

Oh man

"Xbox Live, It's good to Pay together"

StrongMan2751d ago


"They will even validify this by saying its like financing an xbox so the 15$ monthly payments wont hurt them that much."

Exactly. Now where have I heard that before.....oh yeah, "it's only $4 a month to play games online on Xbox, if you can't afford that then you need a new hobby".

Arnon2751d ago

All I see above me are people trying to tell other people how they should spend their own money. Isn't it sort of up to the person buying said items to determine if it's worth their money?

Lucretia2751d ago (Edited 2751d ago )


only a sucker would say its only 4 bucks a month. what kind of person says that? DO U REALLY PAY 4$ A MONTH? no u pay 60 at a time, saying its 4 bucks a month is just sugar coating ur failure of Financial comprehension.

that 50$ steak and Lobster I had last night is 4$ a month, am i going to start turning every single payment into monthly payment excuses? if you are smart then Live is 12 bucks a month as sold in the stores, if you are smart then you know its stupid to segregate prices like you do.

If i take the 60$ a year that Xbox has been out thats 360$ thats 6 brand new games in my library, thats a ps3 and a game, thats a computer, a car payment, an extra set of clothes. its not about whether or not you can afford it, its about being the moth that gladly goes into the fire without question and with extreme loyalty.

I cant believe some people try to justify this.

Im not telling people how to spend their money, im telling people their are better ways to do it.

if your gonna get live get them on ebay, wait for sales, but people who fall for this 460$ bundle without a harddrive are just laughable. And these people say the Vita is too expensive or the ps3 was too expensive at launch -_____-

kreate2751d ago

Im a gold member and microsoft charged me 39.99 for 6 months. Anyone know where i can get xbox live for 4 bucks?

Rivitur2751d ago

You're all getting ripped off I get my gold for 1$ a month thank you dashboard deals. (how bout not renewing it immediately also it has the ability to turn off auto renew)

pixelsword2751d ago

"MS knows the average Idiot is too stupid to do math so they will think its a great deal."

Explains why their sales are mainly in America...

(I'm American, BTW; justsayin')

WetN00dle692751d ago

IM sorry but id much rather pay to play on a reliable network rather than playing on a free always on maintenance laggy P.O.C!

MrMister2751d ago

@WetNoodles: PSN has no lag on its end. Any lag comes from the users end. Plus it's free. Enjoy getting ripped off by Xbox.

lastdual2751d ago

Why do people think this is some evil scheme?

Sony offers financing on a lot of their TVs and other electronic devices. Are they "evil" for giving buyers the choice?

Financing is an option. It *always* adds up to a higher end price, but some people prefer it anyways, and it's not like you won't still be able to buy the product outright if you want.

The only surprising aspect about this is that it hasn't happened sooner.

dcbronco2751d ago



Would you please stop pointing out the truth about things. If they believe things should be free they can. And if people don't have the money for a console up front then screw them. They should just get a PS3.


Drake1172751d ago

This is just a pay as you go plan like most companies have...they usually end up more expensive. Its not like they are removing the straight purchase completely and making people do the payment method. Some people would rather go with a pay as you go method because its less of a hit on their bank account all at once...honestly its just another option for consumers.

dragunrising2751d ago

This deal clearly isn't for you or me, however some people prefer the subsidized model. Imagine if you had to shell out $700 every time you wanted a new phone and the subsidized model didn't exist. There is a market out there for this kind of deal.

Compare this to Rent-a-Center and the total cost isn't so exaggerated. Rip off that it is, the MS deal is much much better.

ShinMaster2751d ago (Edited 2751d ago )

I hope gaming doesn't turn into a bunch of cell phone plans thanks to these people.

Seriously, leave your fanboyism behind and stop defending these business practices because they'll end up affecting ALL of us eventually.
Look at DLC. They're spamming that sh*t so much lately and it's only geting worse.... thanks to these people.

Kurt Russell2751d ago

I see no problem with financing as an option to those who struggle to lay out the cash in one sitting. It's their choice. I did it when I wanted a new PC, I also took a short term loan to help buy a car once. I see this as no different... After all it's not the only option, it's just ONE option consumers have.

Gamer19822751d ago

The thing is they get you on live for 2 years at there monthly rate. Its a genius plan by MS and not only that while your on it for 2 years your unlikely to buy the competitors console. Its like in UK you got an 18 month Virgin subscription your not gonna go out and get SKY too are you? It is clever even if it is a ripoff as you are paying the monthly fee for live not the yearly fee.

Plus they still lose a bit of money on consoles and make it back on live. This certifies they get that money back.

BI0RAPTOR2751d ago


Yeah it is up to the individual to spend his/her money in any means they see fit although the real issue is MS trying to cloak a deal that is clearly uneconomical to the people who may consider purchasing it.
All we are doing is warning the people who may not see this.
If you saw some one about to buy something you knew was cheaper down the road would you not tell him/her?.
Or would you let them spend there money how they wanted and rip them self`s off at a bad purchase?.

vega2752751d ago (Edited 2751d ago )

"All we are doing is warning the people who may not see this". it's obvious that you and the rest of the bunch really think people are stupid and you guys are the smartest people in the world, if you think they need you to warn them on how to spend their money and what they need to spend it on.

No one has ask you for anything. so the need to warn people wasn't needed or asked for. only people bitching about this is the same bunch that bitches and moan about everything MS. people are cpable of thinking for themselve and have never needed advise from anyone on this or any site when it comes to their purchase. just like I'm sure no one made the decission for you and your purchases.

point I'm making is. if people see this as a good deal. they will jump on it. doesn't make them idiots,dumb, or brainwashed because they like something you don't.

so keep you warnings for someone who actually ask you and the rest of the MS haters on this site.

Boody-Bandit2751d ago (Edited 2751d ago )

This is a very odd direction MS has taken to close out this generation of "gaming". They appear now to be going full blown multimedia, casual gaming and to rely heavily on 3rd party support. They have next to no exclusive support left for core gaming audience.

I don't think this bodes well for them going into the next generation as mainly a console that will be supported primarily by multiplat titles and a multimedia format. There is more competition as a multimedia unit than there is in the console gaming industry. Nearly every new display, smart phone, tablets, etc, being built today offers a plethora of multimedia applications.

Plus MS wants to charge people every step of the way and at a higher price than most others.

Sorry but I am not a fan of the direction they are headed and unless they are going to support the people that brought them to the dance I will find a new place to get my groove on.

Edit: Disagree in less than a minute? Tell me what I said that is inaccurate. I would love to hear it. You honestly think Kinect and their top 3 franchise titles is enough to carry them into another generation of gaming without new first party support? Please, I'm all ears. Let me hear your rebuttal.

MS has less 1st party support now than when they entered the gaming industry. <- This is a good thing, really?

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arnyftw2751d ago

I would consider this reasonable if the xbox was 250 gb

TekoIie2751d ago

I admire them as a business. They're always taking the initiative when they invest in the gaming industry. You say it's a ripoff but that's up to the buyer to justify whether they're getting their money's worth.

Lucretia2751d ago

Marketers know how to target the average idiot. they use psychology and passed trends to make predictions, take marketing or advertising class as well as psychology or mass culture, heck even some common sense and you would see the marketers design bundles like this to penetrate the un-thinking majority

2v12751d ago

we the buyers tink is a ripoff we are no getting ours money worth.

TekoIie2751d ago

Thank you once again TheATIGuy lol :3


Did you already buy the bundle???

sikbeta2751d ago


I don't "admire" them as business, but I can't deny MS is really smart when it comes to stuff like this

insomnium22751d ago (Edited 2751d ago )


Agreed! I think Sony should offer this as an option too. There are literally houndreds of shops that offer financing like this so I don't see anything wrong or different just because this is MS. I don't understand why anyone should. It's just a regular pay-more-in-the-end-but-get-ea sier-access practice that's been around for decades.

The only thing I find a little "offending" is that this deal is available only with 2 years of xbl gold. Why can't they simply offer this deal for the console only without the live costs? With this deal you pay the absolute full price of 60 dollars per year for live so this is a small hand over fist move really. Otherwise there is nothing wrong with this option.

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LackTrue4K2751d ago

this is what MS has been wanting to do, and this is just a test pig. If this works the next xbox will come with a subscription, just like cell phones!!!! I have never had any issues with paying for LIVE (when i had my xbox 360), if you use it and enjoy it THAT'S WHAT MADERS. But this....i will not buy.

humbleopinion2751d ago

You are aware than you can buy mobile phones unlocked and with no subscription, right?

The subscription option is only relevant for
people who don't wish to pay for the phone in advance, and obviously it costs more over time.
But you still have both options, so what's the problem with that?

DragonPrince2751d ago

For people that buy into the rip-off and say it doesn't affect anyone else, if this sells how long will it be before the other big 2 do it, thus affecting the rest of us?

Look at when DLC 1st started happening early this gen. Look at the subscription MS introduced, Sony said 'I can't ppl are buying into this?!' Next thing Playstation Plus happens.

I could go on, point is if you buy into things like this, you hurt yourself now, the rest of us shortly after.

Edward752751d ago

Would you say it is a rip off for a serious gamer who is so eager to play, say,Call of Duty just moved out on his/her own and is on the strictest of budgets and his "happy" release is gaming? Half the cash up front, slow pay for a bit and he gets the enjoyment of playing MONTHS earlier.

I know a few players similar to that right now. People who eat ramen noodles multiple times a day to save for the next game they want in an attempt to play when the game is still hot and with friends.

People use rent a center

People pay high interest rates to get that nicer care

People pay for rings to wed the women they love that they can't afford


People go to extremes to be happy.

Let's not hinder it because many either don't like MS or the direction that gaming is going. I know it isn't for me, but don't tread on peeps happy times!

f7897902751d ago


Why would any sane intelligent person let their friend go to Rent-a-Center? Saying "let them be happy" while you watch them waste money makes you a horrible friend.

Edward752751d ago

I agree, please be so kind to READ the post.

PEOPLE use rent a center.

The part about friends online was in the paragraph BEFORE.

The rest were just examples. Posting a reply and not understanding why... Makes you a horrible ...reader?

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Jamaicangmr2751d ago

I cant believe you got disagrees on that. This is a rip off. Pay as you go console oh please leave that to WoW.

mugoldeneagle032751d ago

I got one eventually, free through a friend, and I do enjoy it, but I HATE the fact that they nickle & dime people on accessories mostly, and now this.

And it's worse for me since I work at Best Buy and have to see this every day. Luckily enough, it does make it easier to pitch other products so I'll give them that

Anon19742751d ago (Edited 2751d ago )

I think this is actually a great deal. Who cares if it's $50 or $60 bucks more in the long run? You get to take home an excellent console, and Kinect for only $99 up front and then pay the rest off over two years while getting XBL that entire time. This makes complete sense for people on fixed incomes like students who might find coughing up $460 all at once for a game system a bit steep. And so you pay a slight bit more for that convenience. Is that really a deal breaker? People are making too much out of this. I think it's a great deal and a smart move by Microsoft.

2751d ago
jrbeerman112751d ago

car insurance works this way, if you pay full year in advance you get cheaper price.

My gym membership works this way, if I pay for the entire year its 20% less.

This is an OPTION. If this were the way they sold all the xbox 720s then we have something to whine about.

This deal seems to be best fit for the lower income "layaway" type of consumer.

also everyone that buys a cellphone with a 2 year agreement is already using this model.

asmith23062751d ago

Agreed. Its the same way I pay my car tax. Slightly more than paying full whack once off but in the end I have more cash in my pockets month to month. Its nice to have options.

mobhit2751d ago

Arnon, you can spend your money however you want. No one cares. But it doesn't change the fact that this is a ripoff with a capital R.

Idk what Microsoft is doing. First it's timed DLC when the money could be used towards a new IP (or *gasp* a new Killer Instinct), now its this.

2751d ago
Jazz41082751d ago

I think its a great plan for a 360. Now for a ps3 anything more tha free is too much. Imo that machine should of stayed on the drawing board.

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blue7_72752d ago (Edited 2751d ago )

They are smart that's what it means. It's a genius move to try to get those impulse buyers when they see they have two options to pay $300 plus or pay $15 now sure it's monthly but still most will chose $15 a month if they are tight in money it doesn't mean it's a media device now like you are saying. You are still able to play games and do everything it's like your renting a console.

It's smart they will make more money in the long run but customers think it's cheaper. So I think it's a great idea it will be very interesting to see how it does.

Cell companies do it it's cheaper to buy an unlocked phone and just go with the carrier that has the cheapest plan but most don't they just see it's cheaper to get a phone with a year or two year contract sometimes it's free but it's actually more expensive in the long run but they don't care not everyone has $500 plus to spend at that exact moment to buy an unlocked phone and it's worked for them so why not it's good for the industry to find ways to make more money.

It's obviously not a rip off since no one is forcing you to buy anything you still have the option to buy it not rent it It's about convenience. It's up to each individual to be intelligent enough to make a smart decision. But realize not everyone has $300 plus to spend at that moment when deciding but to pay $15 right away sounds pretty good and that is what this deal is all about.

Just imagine a kid wants an Xbox 360 and goes to tell his dad he wants one and it's $300 you think they are going to buy it?? But tell them you have to pay only $15 a month that sounds pretty appealing doesn't it people in here saying it's stupid just need common sense and some logic.

OC_MurphysLaw2751d ago

It's 100% the cell phone model and genius... And before everyone gets there poop all backed up about MS changing direction... Please don't forget that from Day 1 MS has always stated they wanted the 360 to be the center of the living room media experience. This is also very similar to the Sony charge card offering where they knocked off $150 if you opened a credit card and charged the system to it. Sure you might pay off the card instantly but most people would let that payment slide and most important use the card in the future and end up paying interest.

dedicatedtogamers2751d ago (Edited 2751d ago )

It's a good idea, and I don't think it is a ripoff (even though, personally, I've never ever though a Gold XBL subscription was "worth it"). People need to remember that underneath it all, MICROSOFT IS AN ADVERTISING COMPANY! They thrive on advertising. Their products have never, ever, ever, ever, ever been the best value or the best quality, but they excel at advertising and using media outlets to make their stuff look good.

Customers win. Microsoft wins. People get a system for 100 bucks and then they can spend their leftover money on actual games. Games? Isn't that what game consoles are all about?

Heck, I know it's "evil". I know that Microsoft is testing the waters so that they can do this with the Xbox720 (just you wait: it launches at $450 up front or $300 with a 2-year contract). Just like cell phones. Just like Kindle, Nook, etc.

Whatever. I have the consoles I want from this gen. I have no issue with latecomers being able to enjoy a great console. Why gripe?

Burning_Finger2751d ago (Edited 2751d ago )

M$ Hits New Low?

badkolo2751d ago

so microsoft is finding another way to get the xbox into people hands who might find this way more beneficial to the, then paying outright for the whole package, its a option that doesn't affect you so whats the big deal.

if someone cant afford the 400 plus bucks right now then this might be more feasible for that said individual, this really should not concern us that already own the 360 or plan on buying it outright.

jrbeerman112751d ago

exactly, as long as this model isnt mandatory i do not see why everyone is so upset about this.

Especially considering how many people here have cell phones.

yes it costs more, but is it a rip off? Its cheaper than using credit isnt it?

if a low income household finds this the perfect way to purchase this item all the disagrees are going to deny them?

Ill save money buy buying my systems outright, just like i pay my car insurance for whole year up front, just like I pay for my gym membership for entire year up front, etc. at the same time I wont bash the options to pay monthly.

TheDivine2751d ago (Edited 2751d ago )

Or they know the economy is in the shitter and people cant afford new consoles. This gives most people a way to buy their kids a 360 without having to trample people on black friday. Payment plans are big today, most others charge at least a hundred dollar premium so this isnt bad at all.

I do think if money is that tight you shouldnt be buying games but people like my parents made many sacrifices so me and my bro could have the new nike's and a snes and later n64 and ps2. Parents dont want their kids to feel left out or made fun of. Some of you might not understand that but it means the world to parents to make their children happy.

raytraceme2751d ago

Yes the shitter economy in which over 100 million people can afford $500+ ipads, iphones, $1200+ macs, etc... Yet a $1000 gaming laptop/pc or $250 vita/ps3/xbox 360 is too expensive.

ginsunuva2751d ago

But game consoles are kids toys so they should be the same price as barbies.

Ipads are real mature adult technologiez so it's okay. And they have a cute picture of a bitten apple on them so it's all good.

jrbeerman112751d ago

Ummmm Iphone uses this same exact model. Its pretty much what gave MS the idea im sure.

Ipad different story, but it has much less household penetration.

also dont underestimate the power of credit cards to push people into making irresponsible purchases. if Ipad had this option more would be sold im sure.