$99 Xbox


Word on the street is that Microsoft is planning an experiment setting the price of its Xbox and a Kinect sensor for 99 bucks. The catch: you’re on the hook paying $15 a month for the next two years. The deal is said to come with a subscription to the recently announced Xbox Live gold membership, which lets you take games wherever you go and, more importantly, is the new conduit for entertainment. That’s a pretty clever way to set up a two-year cable TV-like subscription, since you can now stream services like Netflix, Hulu Plus and ESPN on the Xbox.

It’s a game we all play with cell phones - free phone + two-year contract, and with a drop in gaming, why not give the old layaway option a try? The New York Times reports: “During the first three months of this year, sales in its entertainment and devices division, which the Xbox is a part of, fell 16 percent as a result of weak customer demand in the games market.”
The plan hasn’t been confirmed by Microsoft, but sources say an announcement could happen as early as next week. It’s actually  kind of hard to believe that nobody has come up with a plan like this sooner. Everybody wins, and in the long run, Microsoft makes even more cash. From the Verge: “For those buying the bundle now and getting the cheapest two-year Xbox Live Gold option, that's about $299.00 + $120 = $420 vs. $459 over a duration of two years.”

About the author

Marc Sanchez is the technical director and associate producer for Marketplace Tech Report where he is responsible for shaping the sound of the show.
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