Thurott: $299 version of Xbox v.Next will come with a $15/mo XBLG sub, not $10

How is "including family" even a point? Of course it does. Why shouldn't it? That's like saying "won't consume all the oxygen in the room".
 
Even if I had the 500 dollars, I'd probably get the subsidized model. There isn't any way in hell I'm buying this thing at launch if there aren't at least 2 games I want for it, so I'd be paying 420 for my System and 2 games vs the 620 I'd pay unsubsidized.

By not locking up that 200 dollars up front, I can also use it for anything else that I might need (emergencies, vacations, ect). After owning the system for a year, you will have put 480 into it vs the 500 otherwise. People who pay there own bills know each month about their bills (Mortgage/rent, phone/Internet/cable, car insurance, ect). It's just another thing to plug into your budget.
 
$500 is ridiculous. This better be false.
You weren't expecting to pay $500 for a next-gen system when systems that came out in 2005 still top the sales charts at a $249 price point?

My, aren't you silly. Good thing for you that you'll have a $299 option this fall then, isn't it? Albeit one with a subscription caveat.
Which, let's face it, the current Xbox 360 has as well. I suppose instead of $249 we should say it costs $369.
 
How is "including family" even a point? Of course it does. Why shouldn't it? That's like saying "won't consume all the oxygen in the room".

I think that if you used to have a 'family' account aka more than 1 gold account on an xbox you paid more...this is saying you get those extra accounts free.
 
I think that if you used to have a 'family' account aka more than 1 gold account on an xbox you paid more...this is saying you get those extra accounts free.

Pretty much. Basically you're paying Gold for your console, not your profile. That's what I'm guessing at least.
 
You weren't expecting to pay $500 for a next-gen system when systems that came out in 2005 still top the sales charts at a $249 price point?

My, aren't you silly. Good thing for you that you'll have a $299 option this fall then, isn't it? Albeit one with a subscription caveat.
Which, let's face it, the current Xbox 360 has as well. I suppose instead of $249 we should say it costs $369.

Considering that without Kinect this thing could probably be priced at $300-400, I don't see how your argument works.
 
People will just see $299 and instant ownership and the rest will be overlooked.

Shit will sell no doubt.


People love subsidized pricing

I don't know, there's the whole roadblock of "fill out these forms while I give you the policy of your two year contract you're agreeing to."

I'm sure it'll do well, but I don't think the $299 version will be selling like hotcakes. Plus the $499 SKU will be in a majority of stores.
 
I think that if you used to have a 'family' account aka more than 1 gold account on an xbox you paid more...this is saying you get those extra accounts free.

It used to be $99 a year for a family but they closed down the Family Pack earlier this year which means that everyone would have to buy separate Gold subs for your family members.

Now with one $15 a month sub everyone in the family will also have Gold which is a huge deal that has been ignored in this thread.
 
It used to be $99 a year for a family but they closed down the Family Pack earlier this year which means that everyone would have to buy separate Gold subs for your family members.

Now with one $15 a month sub everyone in the family will also have Gold which is a huge deal that has been ignored in this thread.

Not bad...I wonder haw many that covers.
 
I am trying to figure out how a camera which costs Microsoft around $20-30 adds $100-200 extra retail per box

Doesn't Kinect 1 cost $50 to make? Kinect 2 could be easily double. Though probably not much more than that.

We're also talking R&D costs added to this, which people easily forget.
 
It used to be $99 a year for a family but they closed down the Family Pack earlier this year which means that everyone would have to buy separate Gold subs for your family members.

Now with one $15 a month sub everyone in the family will also have Gold which is a huge deal that has been ignored in this thread.
Doesn't that effectively amount to someone buying three annual individual subscriptions at the MSRP and/or a price increase of $80 over the prior "Family" package?
 
I don't know, there's the whole roadblock of "fill out these forms while I give you the policy of your two year contract you're agreeing to."

I'm sure it'll do well, but I don't think the $299 version will be selling like hotcakes. Plus the $499 SKU will be in a majority of stores.

But then this kicks in

"Heck i am gonna pay for live anyway so might as well and use the extra money i am saving on other games on controllers today, $10-15 is nothing "
 
Doesn't Kinect 1 cost $50 to make? Kinect 2 could be easily double. Though probably not much more than that.

We're also talking R&D costs added to this, which people easily forget.

Also there is extra cost inside the console that is the result of Kinect. I won't get specific, but the audio chip that VGLeaks recently detailed is certainly a part of that. We're talking dollars, not pennies per part.

Also, people tend to forget what consoles actually cost to make, distribute/ship/localize/etc. This past generation, with Microsoft and Sony's pricing, has thrown off everyone's perceptions. Let me repeat: The PS3 cost Sony over $900 at launch, and the Wii U cost Nintendo more than $350 at launch.
 
Doesn't Kinect 1 cost $50 to make? Kinect 2 could be easily double. Though probably not much more than that.

How would simplifying the IR sensors, removing the bulky packaging, removing the redundant co-processor, a good chunk of PCB, the motor, the fans, etc equate to costing twice as much?
 
Also, people tend to forget what consoles actually cost to make, distribute/ship/localize/etc. This past generation, with Microsoft and Sony's pricing, has thrown off everyone's perceptions. Let me repeat: The PS3 cost Sony over $900 at launch, and the Wii U cost Nintendo more than $350 at launch.
I imagine the intent of your comment is to suggest "these things are expensive, people."

But if anything, regardless of the PS3's expensive build, its launch price has skewed people's perceptions and expectations towards higher prices.

There doesn't seem to be anything to suggest these upcoming systems will have exorbitant build costs relative to the PS3 at launch.

I would expect Microsoft's decision to price at $500/$300+24x$15 is towards launching at profit, or guaranteed eventual profit, per unit. Rather than rely on the old razor and blade model, where there's no guarantee that software royalties will recoup loss-leads on launch systems.

And I'm still at a loss as to what exactly could be so expensive about the Wii U.
 
Potentially dumb question, but how does the subsidy stuff work, do you need to have a credit check and whatnot to get the contract? I know you do for phones, is it the same process?
 
what about credit checks and those with bad/no credit and deposits? My sister tried to get a phone at Verizon, and she has no credit, so they wanted a $700+ deposit... she left to go 'get money out of the ATM' and never went back. x-D

this is gonna be sloppy mess.
 
How does it work then? Are you telling me it wouldn't be cheaper?

It would be cheaper, but nowhere close to $100 cheaper. You remove $20-30 BOM from a system in an industry that typically has negative launch margins and what do you get?

Even though I expect positive margin at launch, I really do not expect it to be $100-200 huge

Maybe $5-10.
 
Potentially dumb question, but how does the subsidy stuff work, do you need to have a credit check and whatnot to get the contract? I know you do for phones, is it the same process?

what about credit checks and those with bad/no credit and deposits? My sister tried to get a phone at Verizon, and she has no credit, so they wanted a $700+ deposit... she left to go 'get money out of the ATM' and never went back. x-D

this is gonna be sloppy mess.

I'm guessing is not difference than to getting a cellphone contract. Except you are paying for the Xbox Live service instead of a Data one.
 
And I'm still at a loss as to what exactly could be so expensive about the Wii U.

The tablet

You have screens, extra PCB, redundant ram and CPU and/or GPU as well as the entire assortment of other materials required

Mind you I have not seen a breakdown of the internals
 
Why does this model get so much hate?

It makes a lot of sense to me.

The exact same thing is done with mobile phones. The only offensive thing here is that MS will probably still charge for online.
 
Why does this model get so much hate?

It makes a lot of sense to me.

The exact same thing is done with mobile phones.

And it's still a rip off. And the stand alone phones cost 500+ for high end models.

I don't feel like paying over and above that for a console.
 
This is Microsoft. The sub deal will be US-only for a very, very long time.
I suspect America's Hat will have it, too.
Microsoft should really make a push for an aggressive pricing strategy in mainland Europe unless they just want to surrender that market to Sony again.
 
Who says the PS4 won't be $500?

I bet it will be at least that, putting that much GDDR ram is not going to be cheap. They are not going to be selling these as a major loss leader. Given what I have read I can't imagine Sony can afford to sell these a very large loss.

Also XBL cards are tax exempt, so I'd imagine so would a monthly payment. (For those counting taxes toward the complete cost of the console)
 
Honestly I doubt MS have made any sort of line in the sand internal price points yet. But $499 so £379 seems ridiculous for a games machine and £209.99 for a sub model seems also hellish outlandish, should be cheaper over a longer length of contract. Eg. £74.99 with a 48 month contract @ £10 pm
 
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