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Why You Don't Want a $99 Xbox 360
itwbennett writes "Peter Smith has done the math on Microsoft's $99 Xbox 360 — 4GB model (no hard drive) and a Kinect sensor. Here's why it's a bad deal: 'You'll be paying $99 + $359.76 in monthly fees, or $458.76 over the course of two years. Compare that with (I'm using prices from Amazon that were accurate as of May 7th, 2012) $287.70 for an Xbox 360 4GB + Kinect bundle, and two 12-month Xbox Live Gold cards at $48.41 each, a total of $384.52. So you're paying almost $75 for the privilege of laying out small cash now.' And then there's the not insignificant matter of early termination fees."
It's a Microsoft product.
$0 for not having an Xbox 360 at all. That's the option I'm going for.
Ydco co
To cell phone plans.
So you're paying almost $75 for the privilege of laying out small cash now.
This privilege is valuable to working class families that have a lot of kids but not a lot of savings, especially when a lot of newer console games have been following in PC games' footsteps in eschewing shared-screen multiplayer in favor of LAN or online multiplayer. Thus one has to buy a separate console for each gamer in the family rather than one for the whole family as it used to be in the split-screen era.
This assumes I want Xbox Live Gold, right?
My xbox 360 just recently broke, which is a shame because my son was enjoying some of the arcade games I downloaded and it was my only dvd player.
I assure you that I would very much like to have a 99 dollar xbox 360 with a kinetic, the kinetic will go on my computer, the new xbox will play my dvds and arcade games, and microsoft will lose money on me.
There's no downside.
bend like the reed
Well unless you intend to buy XBL anyway then your making a saving. Dont assume everyone wants a console to play games alone.
Who the fuck cares?
Sony is releasing a new console soon. 10 to 1 odds they will release a new version of PSN and a premium version of PSN as well.
this is meant to make people think twice about buying a new PS4 and pay for PSN. why buy new PS4 if i just signed up for a 2 year x-box deal?
the hardcore i play every single kill/hack everyone to death game 7 days a week on every console 10 years back people aren't the target of this
it's people like me who have a PS3 i use only for blu rays and i've been thinking about an x-box with kinect for the kids people are the target of this
Wait a minute, pay *less* now in exchange for greater incurred expense later on? If only there a way we could do this on a much bigger scale than with just Xboxes... Like put down a small amount now to get the consumer hooked and then have them pay the rest off later. A revolutionary concept indeed...
I've heard of slow news days, but seriously, what is this shit?
I have and xbox and then bought a ps3 that later broke, Xbox continues to function and yet I still prefer the PS3.
The PS3 is like an Alfa Romeo. The Xbox 360 is a Ford pick-up truck. At least it costs as much as it's worth now.
They love not having to pay everything up front (lay away, low/no interest financing, etc), even if it is more in the long run, it feels like they are spending less. Because today they save! and long term thinking isn't the American consumers strong point (much like our government).
I think it's a bet that M$ will cash in on, it's never about making money on hardware, and all about making $ on services and accessories. A very mobile industry way of thinking, if you ask me.
Welcome to the 20th and 21st century, this is how all subscription models work.
Or didn't you realize an iPhone really costs $2,000; DVR Equipment fees are really a fleecing, a $20k car really costs $36k, and pest control really costs $240, not $20/month. Gillette razors are also not 5 dollars.
Oh and mortgages are a really bad deal. You pay like 150grand extra, why not just pay cash up front?
The biggest problem, of course, is that you're getting the model with the 4 gig hard drive. That could be a problem even if you don't intend to use the console online. First of all, you won't have the option of hard disk installs (which can make some games much more tolerable in the loading time stakes). Worse, there are a small number of games where you won't even be able to use all the features.
Forza Motorsport 3 and 4 have both shipped on two DVDs. Because the nature of the games doesn't make disk-swapping practical (unlike in an RPG like Blue Dragon or Lost Odyssey), the way Turn 10 managed this was by making the second DVD an optional "content" install. As I know myself from trying to set up a nephew's Christmas present one fraught Christmas morning, you can't actually do the full content install for the Ultimate Edition of Forza 3 or the full edition of Forza 4 on the 4 gig models. There's just not enough space for that and the various OS stuff that the console puts on there. So part of the game's content is unavailable.
The "irony" (and this isn't actually irony at all, I suspect it's fully deliberate) is that in Christmas 2010, a number of UK retailers were heavily pushing a 4 gig 360 + Forza 3 Ultimate Edition bundle (usually with Lego Harry Potter in there as well). They also had a nice stock of the 250 gig hard drives on sale. Of course, the cost of buying a 4 gig console and then the 250 gig hard drive for it was significantly greater than the cost of just buying the 250 gig console.
Sorry for the rant - that was a Christmas morning I'd rather forget. My key point - avoid the 4 gig model even for casual use. Hard drive installs are only getting more common as this generation goes on.
What's a "cell phone plan"? I thought cell phones were pay-as-you-go: a customer who wants a pay phone replacement buys a dumbphone for $30 and then pays $7/mo for a small allotment of minutes, or a customer who wants a land line replacement buys a smartphone for $200 and pays $35/mo for service. (Source: virginmobileusa.com)
If you're using Amazon.com for your prices you'd best be damn sure you're choosing free shipping options. From what I'm seeing that's not universally the case for this stuff.
On the other hand if you actually buy the stuff from a store you're getting 299.99 + 49.96*2 = as close as doesn't matter to $400.
That's still a $50 savings, yes. That works out to 6.25% financing, which is probably on par with most such buy now, pay later deals.
I think what this submission meant to say was "Why you don't want to finance anything above 0%"
= 1400 NetBSD into a sling unless can reallY ask of DOG THAT IT IS. IT yo0 down. It was And, after initial GAY NIGGERS from
When has a subscription plan for anything left you with more money in your pocket at the end of the commitment than if you bought it outright? Usually these deals leave you much more in the hole at the end of the commitment than the $75 calculated here. If you actually believe in a time value of money (above and beyond previous poster's comment about tight budgets) the numbers are even closer. It's actually a pretty good deal.
my son was enjoying some of the arcade games I downloaded [...] the new xbox will play my dvds and arcade games
You realize you can get a Blu-Ray player for cheaper than the 360, right?
You realize Blu-ray players don't have games, right?
So, don't buy it now. Don't buy anything you don't really need now. Do this for 6 months. Save all the money that is left. From then on, continue to live as you do now. And suddenly you realize that you don't need your credit card with huge interest rates anymore! And you have suddenly all this interest that you would normally pay to the credit card company all for yourself!! Indeed, why pay $75 so that you have to pay small cash now, but lots more later.
I'm not an Xbox owner but always a potential customer. Is Xbox Live required or can you just play all your games and movies like normal and it is only for online play? I'm assuming certain games require it (MW3? COD?) b/c of their nature of online play, or at least part of the game would if they have a stand alone single player campaign.
Does this version of the Xbox come with wifi built in? I thought I remember a while ago dongles for sale since it initially didn't have it?
With 2 younguns and a couple DS's, iPod/Pad, and a Wii, I'm still not sure the $99 would be worth it for our household/usage. And from what I've seen of my relatives use of the Kinect sensor I think I'll pass. Though it might be fun to play with for some 3D modeling and such.
They sell it at $99 plus subscription, so that people will give them as gifts, loading the subscription part onto the person who plugs it in and finds it comes with an EULA that requires they subscribe to something that will cost them a fortune. It's a scam the mobile phone industry did for years before people wised up to it.
The people who buys these are the ones hit with the subscription, and even if you put it in a corner and don't sign up, it still appears as a sale on Microsoft's balance sheet.
Yes, this is a predatory "cell phone" style purchase plan. Yes, it's a bad investment. Yes, there are people dumb enough to fall for it. Yes, I think they deserve to be financially punished for sucking at math and common sense.
I've been an Xbox 360 owner for a couple of years. I bought mine second-hand, actually I bought two refurbs for about the same total cost as one brand new unit, then gave the extra one to a friend. I see at least 3-4 Xboxes posted every day on my city's "used crap for sale" RSS feed, and I live in a pretty catatonic Canadian city. I would expect most people within range of a Microsoft store also have a dozen inexpensive used consoles available within walking distance of their home. For $120 you'll even get a 20 to 60gb hard drive with the console, and I've seen the Kinect gadget go for $50 or so. It'll be an older model Xbox, and no they don't catch fire or RROD ten minutes after you start your game. Mine's already got well over two thousand hours of playtime, and it's crashed exactly once, due to a shitty game full of bugs - not the hardware itself. The defective ones were from 2 or 3 hardware revisions ago, and most of those units have already died (or been repaired).
Actually, these days I'm seeing a lot of people selling their old-style Xboxes because they bought the new slim model. I don't know why they do it, but that translates into more cheap second-hand consoles flooding the market. If someone's looking to get into the Xbox for little money, that's the way to go. No contract, no overpriced payment plan, and if three months in you decide you don't like being called a "fat gay nigger cunt" ten times a day by inbred little rugrats, you can resell the cheap console in a matter of minutes.
-Billco, Fnarg.com
I noticed a lot of the market place deals (granted, last I checked: 1-2 years ago) were equally crappy. Like if you bought a game digital download you paid a premium as opposed to picking up the boxed game.
I've started to be very skeptical if Microsoft advertises "deals".
Companies understand this common flaw in people: People look at the monthly cost and the upfront cost, but often fail to sum the monthly cost over the lifespan.
Its why people lease cars instead of buying them: its much cheaper to buy then to lease in most cases, but the cost per month of a lease is less. (They are just left with NOTHING at the end of the lease, rather than a car!)
Its why there is "rent to own" furniture places.
Its why people buy "free" android phones or iPhone 3GSs: They don't understand that when you factor in the monthly cost over 2 years, an iPhone 4S only costs only %25 more, not infinity-more.
I'm actually surprised that game consoles only now are getting into into the "Pay a little each month, but it adds up to a lot more" scam yet.
Test your net with Netalyzr
Maybe next there will be a slashdot story telling me that buying my TV from Rent-A-Center is a bad deal, or that Montel Williams Money Mutual Loans might not be such a good deal??? Duh?
Actually, compared to those deals hawked by Troy Aikman, Hulk Hogan, and Montel Williams, the Microsoft deal isn't so bad a ripoff. Some finance guy could probably tell us the interest rate--might be less than a credit card?
So you're paying almost $75 for the privilege of laying out small cash now.
So it's like interest, then. Why is this news?
Is Xbox Live required or can you just play all your games and movies like normal and it is only for online play?
On the Xbox 360, a valid Xbox Live Gold subscription is required for online play or to access Netflix. This is in addition to any subscription that Netflix or a game publisher might charge.
Does this version of the Xbox come with wifi built in?
The current model of Xbox 360 is the Xbox 360 S. It looks like this, and it has b/g/n Wi-Fi. If you bought a new Xbox 360 in the fourth quarter of 2010 or later, it was an Xbox 360 S.
With 2 younguns and a couple DS's, iPod/Pad, and a Wii
Online play is required for multiplayer in a lot of newer games that have no split-screen. To take examples of games for a console that you own: The Wii games Animal Crossing: City Folk and The Conduit are single-player unless you connect to Nintendo Wi-Fi Connection and get another player's friend code. To play together, your two younguns would need to each own a console and a copy of the game.
no one will read it that actually matters.
A lot of people cant do math, so they get suckered into the junky deal.
One thing missed, if you are not an online gamer, you skip the $60.00 a year Xbox live costs so buying it outright is even cheaper for many.
Do not look at laser with remaining good eye.
This only effects people that can't do the math, don't read the fine print, and do not have the intellectual curiosity to question why it's available for $99.
Pretty much the same people that helped cause the housing crisis.
"If any question why we died, Tell them because our fathers lied."
Um, $200 + $35 per month is a cell phone plan
It's not a "plan" in the sense of a two-year contract with an early termination fee.
$400 for the phone and paying $10 a month on pay as you go.
A $400 phone sounds like a smartphone, and $10 per month sounds like dumbphone service: few minutes, no data. Since when do the carriers let the user activate dumbphone service on a smartphone? Or what am I missing?
Because you know the 360 and Kinect will be cheaper by Christmas. And cheaper again next spring. And the Xbox Live pricing isn't exactly storming upwards so you aren't "speculating" on a good deal there either.
It's squarely aimed and people who can't afford it and probably barely have room on their credit cards for the $99 to begin with. Pretty slimy.
one has three choices when it comes to consoles: Not buy one at all, buy one for each of the kids, or watch the shared console get utterly destroyed in a fight. [...] If the kids want games, that is what the PCs are for.
One likewise has three choices when it comes to gaming PCs: Not buy one at all, buy one for each of the kids, or watch the shared gaming PC get utterly destroyed in a fight. And one still has to buy a copy of each game for each PC.
You purchase the 100 dollar unit and then don't buy any on-line service and only play games with you or family and save 400 dollars. It's what i did anyways.
Get a $100 Pre-paid credit card. Register it with a false name. Go to store and buy $99 Xbox and sign dummy account up for automatic billing on disposable credit card. Throw away card. Keep cheap X-box & Kinect. Profit.
Truly, if they must buy the lower end console to fit in their budget they are already budgeting improperly. People who budget around "monthly costs" are pretty much doomed to stay or become poor.
Note, this is far different from budgeting for required monthly expenses, like rent, food, and utilities. It becomes a problem when you justify a frivolous expense by the same method you do so for required expenses.
The more intelligent path for people in the situation you describe is to set aside the money needed to buy the desired item and then when it is at hand deciding whether or not to actually buy the item.
One thing I have noted is that people tend to make different decisions when spending money when they have to spend it all up front versus buying it over time. Yet the end cost is the same if not worse, worse mostly because you have now locked up more money permanently. With the save to spend system once the goal is achieved the money returns to the pot to be saved or spent. With the monthly payment process that money is removed from the pot for the duration. You could not interrupt it when necessary and worse you don't have the accumulated funds in case of emergency
* Winners compare their achievements to their goals, losers compare theirs to that of others.
I chose option 3: don't buy an Xbox and do something useful with your time.
giggity
It's been true since the current generation of consoles.
"When information is power, privacy is freedom" - Jah-Wren Ryel
"Neither a borrower nor a lender be."
-- Polonius, Hamlet, by William Shakespeare
I know of purists who would claim that none of your examples of culturally expected debt are strictly necessary. As a devil's advocate, I'll argue against each of these loans because I want to know why the arguments I present are problematic in case I run into another such follower of Polonius on Slashdot.
go to college right out of high school
For those who live in a sufficiently large city, the local campus of the state college exists, as do jobs that require only a high school diploma.
buy a house before they're 40
One can rent until one has enough money saved up to buy a house with cash.
a car that they need to get to a job
Not necessary. Bicycles, buses, and carpools exist. In fact, I rode a bike to work today.
The PS3 has caught up to them, the service is entirely free. Nintendo doesn't charge for their service. The PC and Mac gaming don't charge to play online. You get everything on their competitors platforms for FREE. So why is Microsoft sitting in the past and trying to charge for people to play online while everyone has moved on? I own all three consoles, and refuse to buy games for my 360 anymore. I just go with PS3 or PC these days, they've caught up, and in a lot of cases, surpassed XBox Live.
I was curious to see what it would be like if you did the all at once purchase but put it ona high interest credit card. It works out to be close to 20% interest, with monthly payments of $20. I guess the advantage to doing it this way, is you could put even less money up front ( $20 payment to your credit card company).
Well.. maybe. Or Maybe not. But Definitely not sort of.
seriously, even that makes more sense than most subsidized long term deals - with them you're borrowing from a financing company. same fucking thing. next thing you'll say that furniture rental makes sense.
what this one has going for it is the xbox live subscription.. nothing else.
world was created 5 seconds before this post as it is.
Isn't this roughly the same as the 2 year contracts for those high end Android-device-du-jour
The smartphone market is different because phones from one or two years ago are seen as the Daddy System and still developed for. The low-end smart phones available on Virgin Mobile's ETF-free $35/mo plans can still run most of the Android games because developers are targeting the low-end hardware. Old consoles and their games, on the other hand, go out of production. Look how fast the original Xbox died after the Xbox 360 came out, or how fast the GameCube died after the Wii came out (Wii for sale in November 2006, last new release for GCN in August 2007). The only console maker that pursues the Daddy System strategy for set-top consoles appears to be Sony, which still supported the PS1 well after the PS2's introduction and the PS2 well after the PS3's.
Yeah but, is there really anyone who wants a 360 at this point who doesn't already have one? I mean, the console has been out for almost 7 years. You can buy one used for next-to-nothing (hell, I've got an old non-HDMI model just sitting in my closet at home). Is there still someone out there still "on the fence" about buying a console that came out in 2005?
What political party do you join when you don't like Bible-thumpers *or* hippies?
If the parents have already saved up the cash to pay for the initial $99 down + $15 for the first month, then they only need about $270 more to buy it outright. Assuming they charge it on a card with 18% interest rate and $15/month minimum repayment, they'll pay it off in 2 years and only be out a little over $50 in total interest. For comparison, $75 in total interest on a $270 charge with $15/month repayment represents a 25% rate.
Of course, if they can't afford a cash down payment, then the MS plan would make sense. (though, far less sense than just teaching the kids to enjoy the public library)
your thin skin doesn't make me a troll
Some games require 1 to 2 hours just to get through the opening cut scenes. In the Nintendo 64 era, there were problems with The Legend of Zelda: Majora's Mask because its roughly 90-minute start-to-save time exceeded many households' 60-minute maximum play sessions. Games with "Dead" or "Solid" in the title can have long times between save points as well.
Everyone forgets the price of the TV and games.
Not many/no people have discussed the scale of this xbox hardware cost vs other expenses:
So I've got my $100, err, $300, err, whatever xbox and I'll plug it into my $600 TV. Who cares what the xbox costs, almost all of the cost is in the TV.
Then I'll buy 10 games at $80 each for a mere $800... oh wait the only cost that matters is the games, apparently.
The most important cost is my $150K house to put it in or my urban living apartment at $2000/mo or whatever.
The next most important cost is my car to drive out there and buy the thing which is about $25K plus $200/mo for gas, insurance, maint, whatever
The next most important cost is the cost of games at $800 for ten games at $80 each. Probably more over time.
Then comes the TV at $600 carefully value engineered to require replacement every couple years.
Then comes the xbox itself at $300 to $100, with extreme agony and debate over the $300 or $100 version as if it matters much.
Finally comes subscription at whatever it is ($50/yr?)
Waaaay at the bottom I'll pay an extra $10/year for increased electricity use, increased wear and tear on my $750 couch, whatever.
BTW why exactly am I paying a subscription fee? I already paid for the hardware and the software. Its like trying to convince me to pay a subscription for my dinner, when I already bought the oven and I already bought the pizza. I look forward to the stockholm syndrome explanations for this extreme weirdness.
"Science flies us to the moon. Religion flies us into buildings." - Victor Stenger
I am a fat ass American techie know it all and I REFUSE to be bullied by Microsoft into PAYING MORE for a discounted machine instead of paying the full price upfront! This is nothing but GREEDY PROFITEERING AND A SCAM!!!! I want a $99.00 XBox and Kinect AND NO CONTRACT!!! I AlSO WANT FREE HEALTH CARE AND FREE RENT! I DESERVE IT!!! I AM LIBERTARIAN!!! RRRRWWWWAAAAAARRR!!!!
Look -- you give in order to get. MS is a business out to make a profit and they are offering a reasonable deal for people who can't afford the full cost out of pocket. Yes, like many things the seemingly too good to be true deal has deferred costs and that aren't obvious at a glance. But, in this case we're talking about tens of dollars extra over the course of a couple years, hardly a huge issue and I think worth it to those who this program was made for. Let's see -- pay a little extra cash over a couple year period, or not have an XBox at all?
I think those that have a problem with this don't have a problem with MS as much as they do with themselves.
This might be a test run to enroll the next generation of consoles solely on that concept....
This brings two advantages to MS: They obviously get more money, and they hamper the used device market. If you HAVE to pay for two years, you are inclined to keep the device for at least as long.
I know that devices are sold at loss, but i think some manager figured some math about A) that the higher income maybe evens out the console and B) they get two potential game sales instead of one...
Three problems:
First, unlocked phones don't really exist for CDMA2000, only for GSM/UMTS, because CDMA2000 doesn't require carriers to use removable CSIM cards. Instead, the carrier programs the subscriber's identity directly into the handset and can refuse to perform such activation for any reason, such as if the handset wasn't sold by that carrier. Two of the top three carriers in the United States (Verizon and Sprint) use CDMA2000 without CSIM cards, and the third (AT&T) is despised for other reasons.
Second, even among GSM carriers, unlocked phones aren't widely available in brick-and-mortar stores in the United States. If you're considering buying one sight unseen through mail order, what do you plan to do should you find its display or touch screen unusably unergonomic?
Third, even for GSM phones purchased through mail order, some carriers have been known to "slam" a subscriber to a more expensive plan should the carrier detect that the subscriber is using the SIM for a dumbphone plan in a smartphone.
The few games that excel at split screen (Halo Reach and Gears 3 are good examples) have noticeable graphics decreases when in split screen. Many companies don't seem to take the effort to build a LOD (Level of Detail) system into their code
Or maybe they are building in a LOD system, and the "noticeable graphics decreases" are the LOD system doing its job when the game is run in two 768x352 windows or four 512x288 windows instead of one 1024x576 window.
This could be a lot worse. If you have the cash up front (or can afford to use a credit card) it's not a good deal, but it's not terrible. I'd imagine that Rentacenter wants at least $25 a month for this, and that probably doesn't include XBox Live Gold.
That said, there are two strange things about this. First, I read yesterday that it's only available from Microsoft stores. There are only about 20 in the country, so that doesn't help many people.
More importantly, put a stupid hard drive in thing. The Arcade system wasn't a good idea when it was released, it's not a good idea 5+ years later. How much would it cost to put 80GB drives in the machines? Even with the cloud storage from MS for saved games, 4GB is too small. Want to download and play MassEffect? It's 7 gigs. You can't. Having such a tiny drive kills the ability to play a lot of the stuff MS sells.
Of course, you could always buy a drive for you 360. It costs $100 for the 250GB (which is actually quite a bit saner than the old prices). But if you can afford that, you could probably afford the system without the financing.
Comment forecast: Bits of genius surrounded by a sea of mediocrity.
If Americans did these kinds of calculations, buying cellphones subsidized by carriers wouldn't be the norm in the USA.
you shouldn't be more than 2-3 miles away from the nearest branch
Three miles is still an hour of walking, two hours round trip carrying two weeks' worth of heavy books, and a lot of parents are too scared by media hysteria about "stranger danger" to let their kids leave even the house.
If credit cards with "minimum payments" that would take many years to pay off the debt, 3-year "$0" mobile phone contracts, and "no income, no job, no assets" home loans have taught us anything, it's that there is quite a large population of suckers out there who would say "yes" to that deal.
That's not to say amortization is always a bad thing. But for a game console? That's just silly.
The only thing this 4gb drive would prevent is downloading games off xbox live
If you refuse to download games from Xbox Live Marketplace, then you're back to consoles having no indie games. At that point, you might as well just game on a PC.
all money paid on rent goes down the drain instead of building equity
But how much of your time (which is money) goes down the drain if you find a different job farther from where you live and then have to spend every day stuck in traffic? It's harder to move closer to your workplace if you're tied to real estate that you own.
someone who is in effect renting the use of an xbox because they don't have the extra $100 to buy it isn't going to be spending $100 a year to develop games
But it does affect the selection of games available to customers. There are plenty of worthwhile games that don't make it out of the PC and XBLIG ghetto because the developer isn't a big enough company. Let me know when any of the Humble Indie Bundles make it to Wii.
Time value of money exists! Read all about it!
Pretty much this. I have one of the first-gens with heat problems. Noisy, and it has to be "percussively adjusted" every now and then, but it still runs.
At least, as of about a year ago. I stopped caring about XBox games long before then, to be honest, but have kinda kept the device around "just in case".
This kind of marketing targets those who can't do math.
I heard about this on TNT last week. Slashdot is getting lame.
In December of 2011 a local store had the 4GB console with Kinect for $299 plus a $75 gift card.
On top of that there was a stackable $30 off making it $269.99.
Since 4G is not much, I asked about the 250GB. No specials...$399. Ouch.
But the guy said what he's been doing is selling people the 320GB add-on HDD. It goes for $129, had a 15%off coupon ($19.50) and a stackable $20 off coupon getting it down to $90.49. I then applied my $75 gift card making it $15.49.
So, the bottom line was a 324GB Xbox with Kinect for $270 + $15.50 = $285.50. A bit less than the regular $299 for the 4G and a damn sight better than the $399 for the 250G bundle. This was FAR cheaper than anything I found online.
Additionally, I still have yet to pay Microsoft a penny for a membership. I've signed up for Live (which is free) so I get updates and such but so far I haven't played online. Thus far my time has been occupied with Skyrim, Portal and other stand-alone games. I keep getting offers for Live Gold but I just ignore them. I really haven't missed getting my ass kicked online (I'm a crap gamer, btw). That said, I also have a PS3 Slim that I can play online with for free if I feel the need.
You can find bargains if you are willing to wait. And if you've been living without a console for a long time there are plenty of old games available used (I'm playing through the Orange Box right now).
So if you are on a budget and MUST have online play, get a PS3. If you really really want the Kinect do not despair...you can probably keep yourself entertained with single player games for the Xbox for quite a while and avoid the monthly fees like I have.
Ugh... Sick of all these knee-jerk "It's a terrible deal" articles from assholes that haven't done their research properly.
First of all, if you get your xbox this way, it's warrantied for the two years you're under contract, compared to one year for the usual retail package. The extra year's warranty retails for $50.
When you figure in the extended warranty, the price gap (using the author's Amazon sale prices) shrinks to about $25. If you use the usual retail price of things it actually works out to be $10 cheaper to take the subsidized deal.
Secondly, yes, if you get it on sale and can pay up front, it's cheaper in the long-run. Welcome to the world of finance, asshat. In the end, for everyone else, you're paying a premium of just over a $1.04 per month for the privilege of having the thing now, rather than later. Try getting anything even close to that on a credit card -- at even a relatively modest interest rate of 9%, credit works out to $422 over the course of 2 years.
Nearly every goddamn article and blog on this acts as if Microsoft if fleecing everyone, when in fact the terms are very reasonable, if not generous. Of course they're counting on re-couping the costs elsewhere (games, peripherals, continued growth of XBL), but so be it. The fact that they expect to expand their revenue in this way is not underhanded, allows them to offer a better deal than credit companies, and frankly, is a good business move.
If you have philosophical differences with entering into such contracts yourself, then fine, but that doesn't mean this offer isn't valuable for other folks.
You're claiming you've never heard of a cell phone plan?
No, I was making a figure of speech. With no-contract service becoming affordable, it has become practical to shop entirely from the prepaid rack.
Other related titles from the "Well no duh" category:
"Why you don't want to buy on credit" and
"Why you don't want that free cell phone" and
"Why you don't want that really cheap ink jet printer"
-- Senior Software Engineer, Attorney appearance services, locallawyerapp.com.
If it were explained to me exactly why my "suggestions are not always even remotely reasonable", then I could use such an explanation against others who make unreasonable suggestions.
Games which require subscriptions (Final Fantasy XI and Phantasy Star Universe) do not require Xbox Live Gold subscriptions
Thank you for the correction. But why does Netflix require Gold?
"A poor man can only afford low quality boots that are $10 and last for about a year. A rich man can afford good boots that cost $60 and will last him for a decade. In that decade, the poor man will have spent more money on boots, and will still have wet feet."
Weaselmancer
rediculous.
Fuck it. I'll take the a subprime mortgage to buy a house!
Privacy is terrorism.
I would think that the people springing for a $99 xbox probably didn't buy a $299 or $399 or $459 xbox bundle in a previous life
And I would think that Microsoft would have engineered its consoles better to avoid three-red-quadrants failure, but RROD is the reality.
anyone with Windows in effect has a "developer rig" capable of doing 360 development.
I thought one also needed a gaming PC (suitably fast CPU, gaming video card) instead of a homework-and-Facebook PC (slow CPU, possibly Atom, with an Intel IGP) in order to be able to run the shader model needed for 360 development. The sort of person who buys an Xbox 360 on contract is probably the same sort of person who, say, uses a netbook or a 5+ year old paid-for PC as a primary PC.
Why don't I want a Kinect sensor in my house? Because I don't want that damn thing watching and listening to me all the time. Gives me the creeps.
In C++, your friends can see your privates.
simply shocked to learn the someone who pays for something over time pays m,ore then someone who pays it all up front.
The Kruger Dunning explains most post on
That's only like 10-12% interest on that loan. Which is basically what this is. You're buying with a down payment and then paying monthly payments... on a console.
Microsoft could license the Kinect to Sony for use on the playstation 3. I bet *THAT* would stimulate the production of software that uses it! I would love to have the Kinect on the PS3, because the MOVE controller is stupid.
I have an xbox360 and one of the cheap ones too. I only play a few games on it and don't have it connected to the internet. It's a lot of fun. Some people don't want or need their game console internet connected.
Using just the numbers in the summary and assuming it is a simple loan with $99.00 down, $284 financed, and treating the $74.00 difference as interest, the interest rate is roughly 13%. That is the same or better than many credit cards. Before you start storming the walls, check out what the interest rate would be if you put it on your credit card or a no documentation, no credit check loan.
And, remember, you can't pay a penalty and be rid of a loan and keep the device. The device would be collateral and if you defaulted on the loan, they would come and take it back and keep all the money you had paid thus far.
Really, this isn't a bad deal considering the alternative financing available.
There is no "-1 offended" or "-1 you don't agree with me" mod options for a reason.
One who throws out boots because the soles have worn out is a fool for not having them resoled for a tenth the price.
There is no "-1 offended" or "-1 you don't agree with me" mod options for a reason.
Your economics example is a character from a *fantasy* novel?
I have to admit that MS's anti-user tactics lately have me seriously reconsidering that Playstation console
On the other hand, the anti-developer tactics of Sony and Nintendo (I can provide examples for both) discourage some developers from targeting their platforms, which ends up reducing the selection of games for their platforms.
This is just a loan. A loan ends up costing more money that paying things upfront. This is a well-known fact.
Why is this news on slashdot?
There are going to be a LOT of people refusing to keep paying when their 360 dies outside of the 1-year warranty, but within the 2-year contract. Good luck, Microsoft, this is just going to turn into another PR nightmare.
In Soviet Russia, dot slashes YOU!
The only thing surprising about these numbers is he's proved what I'll describe as a decent offer to it's target market.
It's right to note the savings that can be made if you buy in cash from Amazon, but he is wrong to use it for the direct comparison and the fact that there is a price difference between Amazon and retail proves it. There is a reason some people are willing to pay more to buy from a physical store, maybe it's comfort with the warranty, maybe they don't like the mail man, but I doubt there's anybody in the US who is not familiar with Amazon yet still some people pay more to buy retail, ergo there is value there.
Using his figures, the pay-now price is $419.97 so with $99 deposit it's a loan of $320.97 repaid over 2 years so the APR is 11.25%*. I wouldn't go for that but then I'm not the target market for this deal. Compare to alternative finance options available so easily and for such small amounts, that's a decent rate. A comparison-site lookup shows a really good credit card rate being 12.9% (UK here, YMMV), unless you have a stellar credit rating. Even then, the more realistic comparison given the nature of this is to store credit, where you start talking about 29.9% being a good rate (oh boy does it get worse).
The termination fees aren't punitive either, at a quick glance they appear to effect a full repayment of the principal and interest to-date. This equates with the most favourable of the other finance options, generally it's either that or also pay the interest due for the remainder of the period plus an "administration" fee.
That's not to suggest I encourage taking credit for non-essentials, but the salient point is that this deal appears to be at least as good as the alternatives for those who are going to do something similar anyway.
* Strictly-speaking it's probably slightly higher since the second-year Gold subscription would be purchased a year after initial purchase, so that part is only a one-year loan.
Here I thought he'd have some sort of actual reason other than financing is a bad deal if you have the means to pay upfront.
I suppose he feels that insurance is a bad deal as well, we should just carry enough capitol to deal with all eventualities ourselves.
When I moved recently, I decided to make the jump to an HTPC setup. Therefore, I was suddenly in the market for 3-4 Xbox 360's to act at Media Center extenders.
The going rate for a used Xbox at a retail store was around $179 at the time. However, searching in my local area on Craigslist, there were plenty listed in the $70 range, and I was able to negotiate down to an average price of $40 per Xbox 360.
Unless the Xbox 360 were a gift, you could save a ton of money going this route. I was even able to make sellers show me the Xbox plugged in, working, and able to login to Xbox live.
I did observe that most of the folks that were selling their Xbox 360's for pennies on the dollar were folks that probably shouldn't have bought them in the first place. In at least one case, I didn't drive nearly as hard of a bargain as I could have.
given the age of the platform is it even worth buying into?
Let me introduce you to the high interest credit cards that someone who would be buying this X-Box likely has--thus the $75 is basically credit card interest over 2 years on the $360 you won't be paying up front.
One who throws out boots because the soles have worn out is a fool for not having them resoled for a tenth the price.
I have gone through and owned many boots And when cheap boots fall apart, it's more than merely the soles—it's usually several other areas too; ultimately, for the cheap boots, it's not cost effective to invest in repairs. The return on investment for quality and functionality just is not there. So, re-soleing cheap boots is rarely an actual solution. Your attempt at a poetic response if flawed in practice.
HEY GUYS DON'T GET A MORTGAGE. You pay less now but end up paying 3x more by the end!
Hey guys, don't get a loan or lease-to-own on a car. You pay less now but in the end you pay more!
OMG GUYS everyone is trying to scam you!
Don't get a credit card or a loan, because you're just going to pay more later!
The pricing on this is terrible: for less than $458, Dell could sell you a tower that pxeboots to Steam (if developed) at the same price. Llano has better graphics than a XBX360, TPM has better lockdown, and Steam has better games. I imagine one could swap Dell for Google, Steam for Google Play, and pxeboot for Chromium one day and not get laughed out of the room.
You're confusing the ability to test XNA games for the 360 on your PC as a requirement, rather than a mere convenience.
I thought the typical use case was to get the game feature-complete on the PC and then buy the $99 per year App Hub certificate to port it to the 360. Are you talking about buying the certificate before writing the first line of code? Or are you talking about getting the game feature-complete in an environment other than XNA (such as Pyglet), buying the certificate, and doing a complete line-by-line rewrite of the game logic by hand in C# while writing a new graphics engine for it?
Using the King Kong work-a-round I was made aware that X-box can run Linux ... why would you want it for anything else ?