Get your contracts here!!!!

According to an exclusive report that broke on The Verge earlier today Microsoft, the mega hardware/software developer will be offering a special deal in there Microsoft branded stores inside the US.  For a rumored $99 (£61) you can get a 4GB Xbox 360 with a Kinect, but will have to sign a 2 year contract with Microsoft which will have a $15 dollar monthly fee associated with it.  In addition to the console and Kinect, purchasers will get an Xbox Live Gold subscription and a 2 year warranty on their hardware.  Rumor also has it that additional streaming content may be available to those who partake in this special program.

This can all be yours for $99 w/ 2 year contract (full retail value $420)

The Verge also did some simple calculations and found that financing your bundle over 2 years would run you more than just purchasing it outright (~ $459/£283 w/ contract or $420/£259 outright).  But for those who may not have that kind of capital on hand, this seems like a viable alternative.

If you wish to partake in this program and decide to end your contract prematurely, be prepared to pay a yet undisclosed early termination fee (probably the balance of what was remaining).  Microsoft will certainly draw in people with this tempting offer and as reported on The Verge this is being positioned as a direct competitor to Apple TV, Roku and the Playstation 3 (kind of figured on the last one).

When will this all be available you ask?  Well if the report is to be trusted we can expect this offer to go live sometime next week.  I’m sure as E3 draws near we can expect more details about this initiative and maybe other things Microsoft has up their sleeve.  In the meantime let us know what you think about this move from Microsoft.  Do you think it’s smart or will it backfire?  Sound off in the comments section and stay tuned for more.