Microsoft Releasing $99.00 Subsidized Xbox 360 on contractWell well, Microsoft might have just won the game console war. The company has just revealed that they are releasing a $99.00 version of the XBox 360, on a two-year XBox Live subscription.
The deal works like this: go into a microsoft store and give them a special coupon, or ask them to enter the code on the computer. Then sign up for two years of XBox Live at $14.99 a month. For those wondering, that makes the total cost of the console and plan work out to $458.76 over two years, versus buying a $299.00 bundle alone and then subscribing to XBox Live for $59.99 a year, or $418.98. So you will save a little money over the long run by going off-contract, but hey, the immediate cost savings might make up for that.
Of course, you better be prepared to fulfill the contract. The termination fees can destroy you. If you plan on returning your console, well, do it in the first month. You can get a full refund, eating only one month of service (a $14.99 value). During months 1-3, however, the early termination fee jumps to $250. Month 4 is a $240 termination fee, and the cost decreases by $12 every following month until you complete your contract.
A console at such a low price could mean that Microsoft can continue to dominate the living room. Why buy a Playstation 3 when you can get an XBox 360, arguably a better console, for a third the price? Microsoft might have created something truly game-changing here, and I wouldn’t be surprised if this is a trial for what they plan on doing with the XBox 720 (what the journalists are calling the next iteration of the XBox).
You can grab the coupon below, if you are inclined to take Microsof up on their offer.