After a week of speculation, Microsoft has formally announced plans to offer a subscription-based Xbox 360/Kinect bundle requiring a two-year paid commitment.
Customers will pay $99 for a 4 GB Xbox 360 and Kinect up front, then will pay $15 per month for the next two years. They'll enjoy an Xbox Live Gold subscription during that time period, but no additional functionality in the service.
People who decide they've had enough can opt out of the program, but early termination fees are as high as $250, depending on when the contract is broken. The bundle is targeted at consumers who have sat on the fence as the Xbox 360 price has held steady for the past two years. However, it's not necessarily a better deal.
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