xboxone2121At least in some stores, Microsoft’s decision to offer a cheaper version of the Xbox One is producing strong demand.

Last week, Microsoft announced that starting June 9 it will sell a standalone Xbox One, without the Kinect, at $100 cheaper than the current Xbox One price ($499). As GameSpot notes here, that cut has resulted in more interest in Microsoft’s console at GameStop stores.

GameStop president Tony Bartel told GameSpot that this is good news for his company, as more people will buy Xbox One software (GameStop makes more money off games vs. hardware).

On that note, Xbox exec Phil Harrison told OXM that lowering console prices and increasing demand will help the Xbox One ecosystem overall. His thinking is that the more gamers there are on Xbox One, the more developers will be enticed to make Xbox One games.

Still, Harrison added that Microsoft remains committed to Kinect “as the premium way to experience the Xbox One vision.” In fact, Xbox head Phil Spencer told CNET that the decision to offer an Xbox One without the Kinect will actually result in more Kinect unit sales in the end.

Microsoft also made a big Xbox-related change last week when it announced that  anyone with an Xbox One or Xbox 360 — regardless of a Xbox Live Gold membership status — will be able to access more than 170 gaming and entertainment apps, including Netflix, Hulu and ESPN.

The Xbox One still trails the $399 PS4 in worldwide sales, while Sony’s console has held a sales lead in the U.S. for the past four months.

Comments

  • Shortysvilla

    This is crap! I am not fanboy by any means but when I went to a Gamestop over the holiday the sales dorks were trying to get me to purchase an Xbone when I asked if they had any PS4’s in stock, which they didn’t ofcourse. So now Gamestop is happy that the price is lowered and will say anything that’s not even true to move those unwanted, dust collecting consoles. This fabrication that people are “demanding” the console is rubbish! If people “demanded” it they would have purchased it already $100 cheaper or not!

    • lan

      Demand exists along the entire price curve. MS saturated those that will pay full price, so they’re moving down the curve to continue adoption.

      • RaveDamos

        whoa whoa. i think your response is completely out of line and not in the good faith a proper response to Shortysvilla’s micro-rant. Waaay too rational and *not* appreciated :)

        [Econ major here who actually appreciates the logic]

        • marc miles

          Sorry, you are missing it. Xbox is moving down in price because of supply and demand. They have too big a supply,and too little demand.

          If they were selling at the same pace as the PS4, they would not be cutting their price and abandoning their core business plan.

          This is not a smart, calculated and planned out move by Microsoft to move “down the curve to continue adoption”, this is an act of desperation by a group of people that woefully miss read their consumer market. They have been doing a lot of that lately over at microsoft.

      • Shortysvilla

        Completely agree with you that MICROSOFT is lowering the price and offering a Kinectless console but Gamestop is fabricating that they have demand. Gamestop is telling the media this because consumers will believe this and Gamestop knows their audience, and somw consumers, will buy anything if you “say” there is demand for it! Kind of like Cabbage Patch kids and beanie babies back in the day! Haha!

    • Flank

      hrm that is funny because when I was trying to buy my xbox one back in December the sales guy was trying to get me to buy the PS4. I said I would like to get an Xbox One, he says you know we have the PS4 in stock. I said yeah so did Toys R Us but I don’t want that. Then he tells me how much better it is, was kind of annoying but, just had the exact opposite experience.

      • Shortysvilla

        I hate when sales people throw shade at the product you want and don’t have it and offer another. I would go on a rant about that but I’ll spare you all! :)

  • balls187

    Generated interest seems like a useless metric.

    The console is now $399, but it’s not available until June 9th.

    What does generated interest actually mean, and what does that mean for the metrics that actually matter:

    1. Sales
    2. Attach rates
    3. User Satisfaction

    • demfax

      None of the answers to that are good for Xbox One at the moment.

  • Rubix99

    Glad they got rid of that Kinect shite and knocked the price down to a more reasonable figure.

    Yet there is still no point in moving up to Xbox One yet. The Xbox 360 is still kicking ass. Xbox One is still in beta phase at the moment. I hear the DLNA streaming on it is still causing problems along with quite a few other features that are not properly up and running yet.

    I see countless threads on the offical Xbox One forums complaining how so many Xbox One features are broken and not working properly, that there are hardly any decent real next gen games and that they feel ripped off because of 2 official price cuts within 6 months of launch.

    This totally justifies holding off. Best to wait until a true next gen A+++ game arrives before investing in the console. By then they would have probably updated the Xbox One model, have an even bigger default hard drive and possibly had another price cut. Plus you will be playing that A+++ game on a brand spanking new machine.

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