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Old 10-27-2014, 12:56 PM   #1
DanDaMan
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Default XBone to get another price cut

Microsoft to slash Xbox One by $50 until year's end - CNET

*** Down to $349 until the year ends

Microsoft just unveiled its newest weapon in the fight to yank the Xbox One game console out of its sales rut: cold hard cash.

Starting November 2, Microsoft will offer a temporary $50 price cut across its Xbox One line in the US, until the end of the year. The company said in a statement the Xbox One model that comes with the Kinect motion camera accessory will retail for $449, down from $499. The standalone Xbox One without Kinect will sell for $349 from its earlier $399 price tag. Microsoft says other regions may have specific promotional offers, including possible price cuts; the company already implemented a similar strategy in the UK.

The changes mean the entry-level Xbox One will gain a new feature as well: A price nearly 13 percent lower than Sony's PlayStation 4. That video game console, which was released a week before the Xbox One last November, has outsold the Xbox One in the US for nine straight months this year, according to industry watcher NPD Group.

The price cut comes at a crucial time. Most of the video game industry's highest profile new games are released during this time, including installments from best selling franchises like the military-style shooting games Call of Duty and Battlefield, as well as action adventure titles like Assassin's Creed.

Microsoft's strategy is also different from Sony, its primary competitor. That company has hammered out deals to ensure PlayStation 4 owners can get specialized access to storylines and features for popular games, a strategy the company says makes its device more appealing.

Microsoft has focused more on appealing to consumers' wallets to gain ground. In March, the company gave away a popular new space-age shooting game called Titanfall for free when consumers bought a new Xbox One. In May, when Microsoft announced the Kinect-less Xbox One, it sweetened the deal for its Xbox Live Gold social network for gamers, giving gamers two free downloadable titles each month to those who ponied up $60. Sony's PlayStation Plus service gives its members a similar deal.

Xbox fans will likely celebrate the move, but investors may see it as a sign the Xbox is struggling. A price cut is a "last resort," according to Wedbush Securities analyst Michael Pachter.

Consider that Microsoft has obscured the health of Xbox sales by choosing not to release sales data since April, when it announced its 5 millionth unit shipped to retailers. Sony, meanwhile, has proudly broadcast its sales of the PS4 throughout the past year. In August, Sony's device notched its 10 millionth sale, and in September, NPD said it had been the best selling console in the US.

Game consoles have notoriously razor-thin margins. Microsoft was earning around $29 per console sold according to research firm IHS when it first went on sale last year for $500, and even less after sharing that remainder with retailers. A $50 price cut could force Microsoft to take a heavier loss on each Xbox unit sold.

"What matters to them [Microsoft] is winning the customer over, getting them to sign up for Xbox Live, buying the software, buying 20 pieces of downloadable content," Pachter added. "Xbox may lose $50 or a $100 a console, but when you add it all up, I think it's about winning the customer over."

Microsoft has spent the last year reversing unpopular policies and making up for mistakes made during the device's unveiling in May 2013. Initially, the Xbox was designed with controversial features, such as the requirement that users connect to the Internet once every 24 hours and keep the Kinect motion camera plugged in at all times. Potential customers were also upset Microsoft said it would introduce technology that could restrict sharing games with friends, or selling them back to retailers.

Within a month, Microsoft reversed its position. But even since then, Microsoft has been struggling against Sony. At $500, the Xbox One commanded a 20 percent premium over Sony's PS4 when it was released. Now, nearly a year later, it has lagged its competitor as well, according to NPD sales estimates.
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Old 10-27-2014, 01:05 PM   #2
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Perfect time of the year to cut the price
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Old 10-27-2014, 01:22 PM   #3
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Two price cuts in less than a year is not a good sign.
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Old 10-27-2014, 01:58 PM   #4
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In other words, don't buy yet, it's only going to go down in price in 2015 when they're still not selling well enough
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Old 10-27-2014, 02:02 PM   #5
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Probably have a smaller version coming out next year.
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Old 10-27-2014, 03:50 PM   #6
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I like both consoles, but this makes me want a xbox one just alittle bit more. I read that the xbox 1 outsold sony the last month or so. They're still behind Sony and it'll take years, if ever, to be on par sales wise with sony.
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Old 10-27-2014, 04:10 PM   #7
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So glad I am waiting to buy this, with gift certificates and maybe 100$ for selling my old Xbox this shouldnt cost me too much
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Old 10-27-2014, 05:06 PM   #8
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I am waiting until Black Friday. $50 off now plus maybe another $50/100 with special bundle deals. That's my plan. And then I will sell my xbox 360 on eBay or here. Should only cost me maybe $200 total!
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Old 10-27-2014, 05:17 PM   #9
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I am waiting until Black Friday. $50 off now plus maybe another $50/100 with special bundle deals. That's my plan. And then I will sell my xbox 360 on eBay or here. Should only cost me maybe $200 total!

I'm waiting for black Friday as well.... I'm hoping Amazon has a nice PS4 bundle
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Old 10-27-2014, 05:34 PM   #10
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Agreed. If I decide to pick one up it'll be on black friday. Don't know how much cheaper, if any, it'll be then but they'll release some holiday bundles. The new White Xbox 1 looks so pretty!!
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Old 10-27-2014, 06:10 PM   #11
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Originally Posted by mainerunr View Post
Two price cuts in less than a year is not a good sign.
Considering the first was not a price cut per se but more a case of them unbundling the Kinect I wouldn't be too worried. Microsoft is not going anywhere anytime soon and they view the Xbox One as their way to get into the living room. Someone said it best that when a company is in second place and wants to be in first, the consumer usually stands to win in that case.
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Old 10-27-2014, 06:21 PM   #12
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That's sad. Console has been out a little over a year, and they have needed 2 price cuts. Just shows how prepared they were to go against the Ps4 (Which has had 0 price cuts and leads the two In total sales by a wide margin.)
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Old 10-27-2014, 06:35 PM   #13
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That's sad. Console has been out a little over a year, and they have needed 2 price cuts. Just shows how prepared they were to go against the Ps4 (Which has had 0 price cuts and leads the two I'm total sales by a wide margin.)
Okay once again this is the first true price cut. Besides that you are correct, whoever was running the marketing and rollout of the Xbox One should have been let go (he was, Don Mattrick "left" 7/1/13). I don't know why a price cut is sad though? If it's good for the consumers I'm all for it.
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Old 10-27-2014, 06:39 PM   #14
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Still won't convince me to buy one of these. Need to lower it more.
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Old 10-27-2014, 06:43 PM   #15
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I got my Ps4 for $350 off Ebay plus Ebay bucks (was a quadruple ebay bucks day) and I've seen them offered at $350 range on Ebay quite often in the deal of the day section.
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Old 10-27-2014, 06:47 PM   #16
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I think time has sailed on the Halos/Gears as major console movers, I mean the original developers aren't even working on the games anymore. It just feels like Mircosoft buys IP's or Studios at the end of their career. What has rare done as part of Mircosoft? Will Mircosoft be able to make another good minecraft?

Titan Flop anyone?

Meanwhile Sony is just like, Uncharted, Last of us 2, H1Z1, 1887.


I think the fact the best Online games being on both consoles gives Sony the edge, as they seem to have incredible SP exclusives.


I will say every game that was suppose to be the next big thing, has flopped. Here's hoping Battlefront doesn't poop the bed this upcoming summer!
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Old 10-27-2014, 08:22 PM   #17
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Originally Posted by Pot Roast View Post
I think time has sailed on the Halos/Gears as major console movers, I mean the original developers aren't even working on the games anymore. It just feels like Mircosoft buys IP's or Studios at the end of their career. What has rare done as part of Mircosoft? Will Mircosoft be able to make another good minecraft?

Titan Flop anyone?

Meanwhile Sony is just like, Uncharted, Last of us 2, H1Z1, 1887.


I think the fact the best Online games being on both consoles gives Sony the edge, as they seem to have incredible SP exclusives.


I will say every game that was suppose to be the next big thing, has flopped. Here's hoping Battlefront doesn't poop the bed this upcoming summer!
Common, saying TitanFlop makes you sound like a fanboy. Three million copies sold is hardly a flop for a brand new IP that came out in the slow time of March for video games.

Both systems have their pluses and minuses. Owning both consoles I can tell you that the online performance is still better on the Xbox One than it is on the Playstation 4. I have had a few drops on PSN at random times whereas XBL has held up pretty well. I will also add that this is probably the last time I buy a console at launch since there really hasn't been any reason to buy either system in terms of exclusive games. Like you said, almost all of the big games they have put out this year have been kind of crappy (Watch Dogs and Destiny jump out at me). Both consoles should have been released this year because both needed an extra year to really polish up on things like the UI which both felt rushed and incomplete.

All that said, I would recommend a person to buy one of these $349 Xbox One consoles with a free game since that is a really good deal. I don't like not having the Kinect included because that helps navigate the UI better but I heard they are working on making it so you don't have to lean on the Kinect so much at times. When the two bigs really go at each other is when we all win.

Does anyone really want a situation where Sony or Microsoft became the Panini of the video game world? The Sony PS5, sold only at Target for the low price of $899!!!!
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Old 10-27-2014, 09:21 PM   #18
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Originally Posted by Pot Roast View Post
I think time has sailed on the Halos/Gears as major console movers, I mean the original developers aren't even working on the games anymore. It just feels like Mircosoft buys IP's or Studios at the end of their career. What has rare done as part of Mircosoft? Will Mircosoft be able to make another good minecraft?

Titan Flop anyone?

Meanwhile Sony is just like, Uncharted, Last of us 2, H1Z1, 1887.


I think the fact the best Online games being on both consoles gives Sony the edge, as they seem to have incredible SP exclusives.


I will say every game that was suppose to be the next big thing, has flopped. Here's hoping Battlefront doesn't poop the bed this upcoming summer!
TitanFail > TitanFlop
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Old 10-27-2014, 09:36 PM   #19
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I like both consoles, but this makes me want a xbox one just alittle bit more. I read that the xbox 1 outsold sony the last month or so. They're still behind Sony and it'll take years, if ever, to be on par sales wise with sony.

Nope, even with MS offering a free game, the PS4 still outsold the XBone last month.

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Considering the first was not a price cut per se but more a case of them unbundling the Kinect I wouldn't be too worried. Microsoft is not going anywhere anytime soon and they view the Xbox One as their way to get into the living room. Someone said it best that when a company is in second place and wants to be in first, the consumer usually stands to win in that case.
Yes, they unbundled, something they had sad they would NOT do but they needed to do to lower the price because they were getting slaughtered in sales. Removing something they had said was an integral 'feature' so they could lower the price is a price cut.

And yeah, they cut price to try to gain sales, if they do pass the PS4 in sales, Sony will cut their price too. Competition is good.

Yes, I prefer the PS4 but I have no issues with the XBone existing, heck, I'm glad it does as it keeps everyone pushing to improve. You prefer the XBone, doesn't make you any less of a person in my mind. If we all liked the same stuff, life would be pretty boring.

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Old 10-27-2014, 11:47 PM   #20
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I didn't mean to come off as a fanboy I played Xbox360 for 7 years, but when i heard about all the demands Xbone had(which they cut and I think fired the guy) I just decided to switch as most as my friends were switching. I like how Sony dash doesn't have adds, and with a party chat I'm pretty much set. If I had the money It'd most likely have a Xbone aswell, but I have a card addiction. haha

Most games that I'm pumped for aren't exclusives, but having uncharted and Naughty Dog making games is a nice bonus.
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Old 10-28-2014, 12:13 AM   #21
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I heard it on the xbox unlocked podcast on ign so I just went with it
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Old 10-28-2014, 01:28 AM   #22
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I wonder if this price cut will affect the price of the cod:AW bundle... probably not..
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Old 10-28-2014, 08:56 AM   #23
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I wonder if this price cut will affect the price of the cod:AW bundle... probably not..
$50 price cut it looks like.

CoD: Advanced Warfare Xbox One bundle gets $50 price cut | VG247
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Old 10-28-2014, 09:04 AM   #24
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i've been waiting to buy one as well. Would have bought one back in september if NHL didn't drop the puck so badly. Might as well wait for Black Friday or Cyber Monday to see if I can't get one at 300 or below.
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Old 10-28-2014, 02:08 PM   #25
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Don't they pretty much drop every year around this time? I like mine but I only have 5 games for it and haven't really played them much besides Black Flag. I still play my PS3 way more than my One
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