I think it's easy to get to $500 if you have the standard console that's been mentioned in rumors, plus a kinect, plus the upsell so that you're not losing a lot of money in the first year of sales.
Thurott: $299 version of Xbox v.Next will come with a $15/mo XBLG sub, not $10
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I think it's easy to get to $500 if you have the standard console that's been mentioned in rumors, plus a kinect, plus the upsell so that you're not losing a lot of money in the first year of sales.
How many people buy phones outright? Not many. Its about convenience, not getting a good deal.
lol, so no, you don't know what this thread is about. There is no mention of an XBL price increase
BRocknRolla
Member
Frustrating. But true.
Convenience? I don't know that it is more "convenient" to pay more in the long run rather than a higher price up front. It's a mental block; instant gratification or a better long term decision? Humans are bad at making those choices.
We still need to see what's being offered before jumping the gun. If it's anything like the current 360 subscription though, that's a giant NOPE from me.
Considering spending less now and more later is financially the better decision, this isn't really as bad of a deal as everyone is making it out to be. And I don't think people are going to be unaware of the excess charges via contract; people are dense but not too dense to realize what they're signing (like their cell phone contracts--people know they're buying a phone and signing for monthly charges).
When you do the math the finance charges are already built in.
Under the current system if you stop paying, and do not pay the ETF, the following things happen:
1) The Xbox 360 under contract becomes completely unusable.
2) You get a negative mark on your credit report.
Basically, it's a contract. If you don't like it, buy the system at full price.
theusedversion
Member
Why aren't people taking sales tax into consideration?
$500 XBOX + 10% tax ($50) + $120 Live (2 years) = $670.00
$300 XBOX + 10% tax ($30) + $15/24 months ($360) = $690.00
*This is assuming that they don't charge sales tax on Live cards at retail. I have no idea if they do or not. If they do, that would be another $12 to add to the cost of the unsubsidized console*
So for $20 more, you get a cheaper upfront cost and it includes a family subscription. Maybe even a longer warranty? Doesn't sound like a bad deal at all in my opinion.
$500 XBOX + 10% tax ($50) + $120 Live (2 years) = $670.00
$300 XBOX + 10% tax ($30) + $15/24 months ($360) = $690.00
*This is assuming that they don't charge sales tax on Live cards at retail. I have no idea if they do or not. If they do, that would be another $12 to add to the cost of the unsubsidized console*
So for $20 more, you get a cheaper upfront cost and it includes a family subscription. Maybe even a longer warranty? Doesn't sound like a bad deal at all in my opinion.
Bluekaveli
Member
What if you stop paying on the console? Or will it be tied down with a credit card?
This is what delusion looks like.
DCX
DCX
If they bundle in the 360 Attachment to the 499 model would people bitch?
Bundle in 3 months of Netflix and Hulu fore the 299 model with 20 bucks in MS Points and some game for both.
If this is straight up with no bundle they will fail to Sony's PS+ offering content. I will say Sony will adopt PS+ as its Xbox Live. No free online anymore.
DCX
Bundle in 3 months of Netflix and Hulu fore the 299 model with 20 bucks in MS Points and some game for both.
If this is straight up with no bundle they will fail to Sony's PS+ offering content. I will say Sony will adopt PS+ as its Xbox Live. No free online anymore.
DCX
These people buy their phones for 99 or 199 most of the time. And you need a phone you don't need a console.
I don't think $299 subsidized is an appealing price for the uninformed consumer to bite. They need to compare it to the tempting price of really popular subsidized products, like $200 for the iPhone/Galaxy S4. Then it may sell like hotcakes.
People will wonder what's so different from this and the iTV/Apple TV, even the iPad.
Personally, I will never pay $660 nor $600 nor even $400 for a console that doesn't even count the game or two I want to buy for it. Well $400 is the absolute ceiling for a console for me.
People will wonder what's so different from this and the iTV/Apple TV, even the iPad.
Personally, I will never pay $660 nor $600 nor even $400 for a console that doesn't even count the game or two I want to buy for it. Well $400 is the absolute ceiling for a console for me.
Bleedorang3
Banned
This. It's like nobody here has ever bought a Cell Phone on contract before.
Most likely tied to a credit card or its through a finance company.
The Illiterati
Member
If 720 is 300 subsidized, I will not buy, since I don't want Live. I don't want the system for 500 either.
If Ps4 is 300 with Plus, I'd jump on it in a heartbeat. 400 without? If I have the cash.
Microsoft is offering nothing.
If Ps4 is 300 with Plus, I'd jump on it in a heartbeat. 400 without? If I have the cash.
Microsoft is offering nothing.
But many smartphones cost zero dollars with a subsidy, yet people still reach for the 200 shiny new iphones. You don't need a console, but 300 for the new shit for your kid is attractive.
many places
Member
Lol maybe, but it was more of a shitty joke than anything. I don't even own a WiiU but I would like it to succeed.
Of course they're offering nothing... they haven't announced anything yet
I think Sony would be sitting pretty well positioning itself in between the sub/unsub models. $399 price point would be perfect. It's not hard for people to do the math when they see the two in the store. One is $299 with 15$/month for 2 years, one is $399 with no subscription fee (hopefully). In less than a year that $299 Xbox is going to cost them more than the PS4.
Killing_Joke
Member
I think the current XBL is a scam in itself. But that's a different debate. PS3 and 360 are still grossly expensive imo. But people are buying them so no reason for price drops. It's just my opinion that these systems are not worth $299 in 2013. If you truly believe XBL is worth it, then sure good deal.
Uh, I'm not confused at all. I don't think the subsidized deal is a good option imo. I also think $499 is too expensive for the next gen twins. $400 is my sweet spot and $450 was my breaking point.
Outtrigger888
Member
Maybe the pen they sign with has one of them little trolls at the top?
An iPhone is a status symbol. A console is your shameful secret(I'm 31 lol)
I believe that the comparison was in regards to subsidizing. People are willing to pay more over the life of a contract to lower the initial cost of ownership.
(Plus, people typically purchase a phone every 2 years. Consoles? Not so much)
Cthulhu_Steev
Member
I expect the ease of paying $15 a month trumps the extra cost at the end of it. $500 down in one go you notice, $15 a month - not so much.
More like $15/month to pay back the loan you took out to help pay for your console, plus interest, plus regular Live fees (which are at MSRP rather than discounted).
Amazon, buy.com, Best Buy, Newegg, etc. regularly sell 1 year XBLG cards for $35-$40 about once per quarter. You'll see them for $30/yr around Black Friday/Holiday sales.
Most people just stock up, then use as needed (or resell for profit later on in the year).
No one "needs" a $600 smartphone.
Hell, no one "needs" a cell phone. Landlines still work just fine. And if you're on the Internet, you can setup an incoming VOIP line for free with a little searching.
Even then, if you feel the need to be mobile, a $20 Nokia still makes calls just fine. And for games, an old GBA SP is still a killer system (with some very fine games I might add!)
Visualante2
Member
Cost of raising a family rises yet again. Obama's America.
True. If you invest that $200 into the market, or put it in an IRA that is in the market, you would come out ahead on that amount of money in the long run. If you are REALLY thinking about long-term, less money up front can be outweighed if it isn't a substantial amount of money you pay more over the 2 year period.
TheGreyHulk
Member
exactly. sometimes, people can't afford that 1 large hit to their fund and they're willing to pay a little bit more for the ability to pay off the balance over a long period of time.
i'm fully interested in seeing how they do price a subsidized on contract sku. $15 a month isn't even terrible. that's like 2 lunches right there.
the best thing i see about the subsidized option is being able to buy a console + games + extra controller for the same first day cost as buying the console alone off contract.. that's a huge win for a family. the final cost is a little higher, but that's not a big issue because it's not one lump sum that could f up your financials for the month
FonkyByNature
Member
I'm personnaly not interesed in this but i see it working very very well in north america.
People will see the 299$ first and go wow. Sony must have something like this to compete and i'm sure they will.
People will see the 299$ first and go wow. Sony must have something like this to compete and i'm sure they will.
Funny part is no one takes tax into it and that would bring it to 720 kinda funny no ? Lol
In any case many people and parents will go for the sub 720 not using logic and their head to see that is almost 50$ more than normally would be ....
In any case lets wait for E3 and see
Phone companies charge you a cancellation fee, MS will do the same. If you don't pay they will take you to collections and screw up your credit score in the process.
BRocknRolla
Member
What? In what world would you not get charged tax for the Live subscription in both instances?
Take that back, I should say, in what state or country are you speaking from? I live in IL, USA and I'd be paying tax on each bit. Most states in the US are going to charge you tax on each part. In the US, the day of, "Buy it online and pay no sales tax" is going the way of the dodo. Maybe that isn't the case in other countries. This argument will only apply in very specific circumstances.
Caffeine
Gold Member
I wonder if the $300 one has 2 years of warranty as well cause if it does then the $500 would be another $50 or it would have a standard 90 day warranty. the $15 a month would also have 10% tax in my area so that would be an extra $36 added to the $300 model.
Well sure, but what about your kid, that's what I feel this is targeting; the family who wants to get their son or daughter the thing they ask for when they are scraping the barrel for spending money.
I'm not sure if this will be the same for Microsoft, but when I buy an iPhone, I pay tax on the unsubsidized price. So the phone is $200 but I actually pay $260 after tax because I'm being taxed on the full $600 price of the phone. Just something to chew on
fi3rypho3nix
Banned
What a stupid argument. Maybe people should not buy phones, cars, and expensive houses. They are luxury items.
MightyHedgehog
Member
Because many people in here don't seem to have much real life experience with contracts? That's not surprising, but I love how many act as if this is something terribly evil and new, yet it's older than cell phones and game consoles, and people have used credit since the beginning to purchase consoles as far back as Sears carried them with the Ataris and Odysseys and Pong-clones. Sony offers Sony credit cards and a discount to get people interested in Playstation systems for two generations now. People gotta freak out.
I didn't even think about it like that, thats pretty smart.
BloodMoney
Banned
i think the change for $10 per month to $15 per month IS the finance charge
what makes you say that? this subsidy exists today with the 360 and it hasn't stopped Amazon/etc.. from doing sales.
Doug Heffernan
Member
Yes. It's strange how some people can't make the connection to cell phone contracts.
Ironically, I bet most of these people have cell phone contracts themselves; just to save 100 bucks on their Samsung Whatever 2.0.
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