Silent_Buddha
Legend
MS is using a simple but very effective strategy that could back fire.
If this news are to be believe.
They are selling you Durango for $299 which is the price it should carry with the leaked specs,but they are also adding live $10 dollars per month and actually call it subsidized.
If you don't want the $299 with $10 a month fee they sell your Durango either way,but over charge you for it,so basically they charge you for live were ever you like it or not,the only difference is on the $500 model you don't get live just and over charge.
I have see people already falling for $299 model,which is kind of odd because with the current hardware specs leaked there is no way MS can justify $500 dollar price tag.
They are blowing the price on the stand alone unit so that the $299 model seem more attractive.
Um, does that mean the iPhone 5 is really only worth 199 USD? A Samsung Galaxy S 4 is only worth 199 USD?
A brand new car with a 20,000 USD price tag purchased with a 100 USD down payment + monthly payments is only worth 100 USD?
That reasoning is ridiculous. Take out the Xbox Live Gold membership (5 USD a month) and that 299 USD price + 5 USD monthly still comes out to 419 USD.
I wouldn't be surprised if the 499 USD price on the non-subsidized phone is more to get people to buy the 299 + monthly version. But if people want to pay for the non-gold subsidized version, far be it for Microsoft to deny them.
Personally, I'm still unlikely to buy either the PS4 or Xbox next. But if the non-gaming services on either one are significantly better than what I can provide with my HTPC, then that will be what gets me to buy one.
Regards,
SB