Yeah, I was thinking about the price of X1 and the ever ending discussion about it being 100$ than PS4. Well, I assume MS will lower the price within a year or so but then I had this idea: Wouldn´t it me smarter of them to sell the console at the same retail prices but include more and more digital downloads in the price?

Since all games that are released, also gets a release digitally, they could, instead of lowering the price by 50$, include a download code for one game digitally. The buyer can download any game he/she wishes. This has alot of benefits:

+ Being able to download ANY game of your choosing when buying an X1 is a way to quickly get more people into digital downloads, where the margin of profit on every game is bigger.

+ It doesn´t cost MS as much including a game, instead of lowering prices.

+ Imagine them "lowering" the price of the console by 100$. Instead they add the perceived value of two free games of your choosing which makes the overall package that more interesting.

The downsida I see initially is that people are simpleminded when it comes to consoles and look at the retail price first, added games second. A price of 399$ is looked upon as a lower price than a console for 499$ including two free games of your choosing.

But what do you guys think of this business modell? would it work?

You're describing a Console and gift card bundle which isn't uncommon for stores to do. People prefer actual price cuts to bundles.

Also a price drop within a year? How about just a Kinect-less model?

Well... the issue for now is... X1 doesn't really have any games that people care about even if that free game deal was implemented... With a game like TitanFall, I can see that happening but until a game like that comes out... I don't think giving a free game would help them very much cause the initial price is still $500 with an okay launch lineup

Not really. MS shower, in fall of 2011 I think, that heavy bundling was atleast as effective as price cutting the console itself. The difference here would also be that you could get ANY game from MS, since their entire library is digital aswell.

The entire system and UI is built around Kinect usability so that won´t happen, ever. Kinect will also improve over time and is a great entry for families to the system (when the games come :)).

Kinectless Model? Why?

History has shown us that its normal for a console to get a pricecut in its first 12 months. PS1, PS2, PS3, 360, Xbox, N64, GC etc etc. All pricecut in my country within 12 months.

Kinect will stay. Price cut will happen, this XMAS.

Price cut to $399 by the end of this year for the XB1. The PS4 will drop by $50 this year too. These "Nextgen" systems will be fast tracked on price cuts to get the sales as fast as possible. This generation will be much shorter than the last one...

You can do everything with voice. Honestly they could simply make the kinectless bundle have voice support through the mic.

It's selling quite well, and high profile new games and exclusives are lined up for this year so I don't see that happening. (like TitanFall in 2 months, something Halo this fall, and probably something Kineticty-causal at E3!)

I do see that happening in 2015 as part of their bundles. I just think with it selling well, new games, it's not needed yet.

(Remember they want to pay of that 100 million dollar controller research price tag.)