Microsoft may be launching a $99 Xbox console and Kinect package with a monthly subscription as early as next month. The bundle will include a 4GB console with Kinect that will be available at the Microsoft Store in the United States and will contain a subsidized monthly fee of $15. This two year subscription will provide access to the Xbox Live Gold service and potentially more additional streaming content from cable providers or sports package providers. The two year package will also include a two-year warranty.
Just as with cell phones and other subscription based services, there will be an early termination fee for breaking the contract prior to the end of the two-year agreement. Microsoft may be positioning this package to compete with Apple TV, Roku, or the PlayStation 3. The bundle option is the cheapest way to get an Xbox 360 and Xbox Live for two years, that’s $299.00 + $120 = $420 vs. $459 over a duration of two years.
(Via The Verge)