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Rumor: Xbox 360 getting $100, contract-subsidized Kinect bundle next week

Jordan Mallory

Microsoft is preparing to take a page from the cell phone carrier playbook by offering the Xbox 360 at a substantial initial discount, followed by a two year subscription service, according to The Verge. The bundle, which would cost $100 up front and $15 a month afterwards, includes a Kinect, Xbox Live Gold service, a two-year warranty and possibly various types of streaming content. The package deal may go on sale as early as next week at Microsoft's various retail locations across the country.

Also like modern cell phone plans, an early termination fee would be associated with the service contract and levied against those who wish to leave their commitments early. Those who ride the entire contract out would end up paying roughly $460 for the bundle and its associated years of service. We've reached out to Microsoft for comment and will update as this story develops.

Update: Microsoft issued Joystiq the following statement: "We haven't made any announcements and we don't comment on rumor or speculation."

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