Microsoft kills Xbox hardware subscription. Why did it fail?

Microsoft has announced the end of its experimental hardware subscription scheme for the Xbox 360. Starting in early May 2012, the offer allowed prospective owners to bag a 4Gb Kinect-bundled model for an initial outlay of $99, followed by a $15/month subscription lasting two years, including an Xbox Live Gold subscription. Explaining the end of the scheme, Microsoft spokesman David Dennis stated that “This program was intended to be a pilot from the start, and Microsoft routinely adjusts the mix of offers available to its customers and this change was simply standard business practice”.

Fair enough. But ‘standard business practice’, […]

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