Microsoft Archive

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Microsoft Confirms Kinect Pricing At $150 – Internet Goes Into Conniptions

This morning, we finally got confirmation on pricing for Microsoft’s Kinect peripheral for Xbox 360. Now, this shouldn’t come as a surprise to people who noticed that Gamestop had posted the $149.99 price on their website right around E3 time last month. However, Microsoft had been strangely quiet on confirming this price point until today.

Here are the two ways you can obtain Kinect this fall:

  • For anyone currently owning an Xbox 360: Kinect peripheral w/ Kinect Adventures game, $149.99
  • For anyone without an Xbox 360: New Xbox 360 w/ 4GB memory storage and matte finish + Kinect peripheral w/ Kinect Adventures game, $299.99

Basically, if you are a new Xbox 360 owner, you can grab both for a $50 discount off MSRP. Microsoft also announced that all first-party Kinect launch titles would be retailing for $49.95.

Now, after reading gaming community reactions to this, one would think that Microsoft had done the video game equivalent of leaving Cleveland to join the Miami Heat. The vast majority of commenters and posters on notable video games communities voiced their extreme displeasure at the price point for Kinect. Many labeled Kinect as a “rip-off” and made comparisons to Sega’s ill-fated 32X peripheral addon for the Genesis. One poster on the neoGAF called it “A disaster of Kin proportions.” Even Microsoft’s own community site, Major Nelson, wasn’t immune to the backlash.

What went wrong? Just one year ago, Kinect (then called Project Natal) was the darling of both core gamers and the mainstream media. People were drinking the Kool-Aid of limitless possibilities in hands-free gaming combined with a futuristic “Minority Report’-esque interface for viewing media content.

Two factors led us to this point.

First of all, the launch software simply is not compelling, at least to core game players. The best game Kinect has going for it is a dance game which admittedly is quite good, but may not have quite the same appeal to Johnny McCallofDuty. The other software is widely viewed as non-gamer content (fitness titles and kids software) or glorified Wii mini-game collection knock offs.

Secondly, Microsoft bumbled the pricing information of the product. When first announced, many people were estimating that Kinect would cost at least $199.99. Pricing seemed to be secondary to the wonder and amazement that such a product existed and could be obtainable by the consumer.

In October of 2009, Wedbrush Morgan analyst, Robert Pachter, guessed the price of Kinect (then Project Natal) at $49.99 (!) with a worst cast scenario of $99.99. Gamers were thrilled. Not only was this device imminent, it would be affordable too!

Flash forward to June of 2010 where online retailers such as Gamestop and Amazon put up the Kinect for pre-order at a $149.99 price point. Grumblings were heard throughout the gaming community, but most were holding out for hope that Microsoft would change the pricing back to at least $99.99  when it gave an official announcement. They did not.

Clearly, Microsoft needed to sell the device at the $149.99, but knew that community backlash was already brewing. They tried to compromise by bundling in Kinect Adventures in with the peripheral. (If we assume Kinect Adventures would have cost $49.99 separately, one could derive a $99.99 price for the device and add the $49.99 for the game to get to the $149.99 price point) However, this seems to have gone largely dismissed by the community because it’s a title that no one desired nor was it perceived as being worth the full retail price tag of $49.99.

If it’s one thing people don’t like, it’s the feeling of being bait and switched on pricing, even if said pricing was never confirmed by the manufacturer. Contrast this with the public response to iPad pricing prior to launch.

Popular opinion before Apple launched the iPad was that it would be priced around the $800-$1000 mark. The Wall Street Journal published speculation in early January of 2010 that the device would cost upwards of $1000. When Apple finally announced the product with a starting price point of $499, it was lauded as being “affordable” and public perception was very positive.

Some conspiracy theorists out there feel that Apple “leaked” this misinformation to the WSJ to manufacture this positive perception. Whether or not this was engineered by Apple or predicted organically, the fact remains that it worked. iPad pricing is a virtual non-issue in terms of internet debate fodder. Microsoft would have done well to haved learned from this.

My Take:

Would I have liked the Kinect to be priced at $99.99? Sure, I mean, paying less is always good. Does $149.99 turn me off from purchasing it? At the end of the day, I don’t think it does. I’m still in love with Dance Central and even at the $200 price it’ll take to play it, it’s no worse than shelling out $200 for a plastic instrument Rock Band bundle to me.

The main concern prospective buyers should be having is with the apparent dearth of quality software titles, at least for solo players. If you’re a core gamer who has no interest in dancing, you suddenly have no reason to buy the Kinect at launch, unless you want a slightly clumsy, yet cool feeling way to navigate your media on your Xbox.

If you’re a casual social gamer or want something kid-friendly, then you have a more compelling decision to make this fall. I firmly believe that total hands free gaming is a lot more intuitive and exciting than having to deal with an a peripheral, at least in a social gaming setting. It’s a much more fluid experience to just move people to and from the front of the TV, rather than having to deal with calibrating and passing along multiple controllers. It’s also a better experience for non-gamers to skip having learn how to use any controller in the first place, no matter how simple it is.

Either way, I still believe Microsoft has a promising product here with the Kinect. The idea of hands free interfaces is a mighty compelling one to me and I’ll most likely be in on the ground floor if only to support the initiative. And because I’m a shameless early adopting gadget freak.

Most people, I’d imagine though, would be best served with the “wait and see” approach with Kinect.

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Six Impressions From Microsoft’s 2010 E3 Press Conference

Seriously, if I hear another video game executive speak the words “redefine”, “amazing”, “entertainment phenomenon”, or “transformation” again, I’m going to RAGE quit gaming.

Microsoft’s 2010 E3 presentation was filled with hyperbolic marketing speak, planned pauses for nerd applause, unrehearsed speakers, and awkward catcalls from the audience whenever an attractive woman took the stage. It reminded me of the much maligned Nintendo presentation from 2008 where the Big N just talked about how much money they made and finished with a dude air drumming for Wii Music. Only the strength of Microsoft’s gaming franchises and a couple of other big announcements kept this presentation from real embarrassment.

At the end of the day I do realize that it’s a presentation on video games from video game executives. Still, would it kill them to actually read and rehearse what they’re doing? It’s not a trivial amount of money being thrown at these things, you know. Plus, Microsoft is trying to reach a “mainstream” audience by live-broadcasting this event all over the web and on television. Why take the chance of embarrassing your company and your products on the big stage?

Here are 6 impressions I came away with from the press conference:

  1. Awesome Sequels – We saw Call of Duty (7): Black Ops, Halo: Reach, Gears of War 3, Fable 3, and Metal Gear Rising (granted, not a “true sequel” but clearly wouldn’t be a big deal without the name attached) demonstrated. All of these titles look great and will be huge sellers. However, did anyone really need to be convinced of this? It’s cool seeing these titles being played live, but as a fan of previous franchise entries, you’re going to buy them regardless of what Microsoft shows. Where are the original new games? Where’s the stuff that really “redefines entertainment?”
  2. Kinect UI – Finally we’re entering the age of Minority Report-esque screen interfaces. If it’s as responsive as demoed, it could really change the way we consume media on a console. Voice commands? Meh. It’s almost always less cumbersome to navigate via a physical input device. Controller < Mouse < Pointing with finger. Seeking in a video file is a perfect example of how great the interface can be.
  3. ESPN – LOVED this announcement at first. The only reason I even have cable TV is because I enjoy live sporting events. ESPN on my console would save me a ton of money each month from my cable bill. Add an interactive score ticker, HD streaming, rewind/fast forward capability, and some neat polls/trivia widgets and you have a real compelling product for sports fans. Acouple of things tempered this excitement, though. 1) You need to have an ISP provider that plays ball with ESPN. I’m not sure if you need to have cable TV service too, but that would just make things pointless if so. 2) The service is basically ESPN 3, which isn’t necessarily a bad thing. It just means that we’re not getting a simulcast ESPN-prime for free – that means no Sportscenter, no Around the Horn, etc. We’re getting one off live events at their programming whim. Regardless, it’ll be a welcome addition since we don’t have to pay for it.
  4. Kinect Games – If this is the stuff that “redefines entertainment,” I want my old entertainment back. Kinect Sports, Kinectimals, Kinect Joy Ride, Kinect Adventures, Your Shape, and Dance Central are the Kinect titles demonstrated. With the exception of Your Shape and Dance Central, all of these are first party titles. Let’s talk about the Kinect____ titles first. They all look like Wii Sports/Wii Play/Wii Fit minigame knockoffs. I seriously hope Microsoft isn’t planning to charge $59.99 for each of these, because I’d have a hard time justifying that for a bundle of all of them. Every one of those titles looks like something I would play once and never touch again. Regarding Ubisoft’s Your Shape – *yawn*, “fitness genre”. I will say it looks a lot more useful than having to deal with a Wii Fit balance board, though. Dance Central by Harmonix was by far the most interesting title demonstrated. The technology to execute a real dance-move game has not been available until now and it looks quite fun, even for someone like me who’s normally too embarrassed to dance.
  5. Kinect Proof of Concept Games – We’re treated to a glimpse of the future with a short Star Wars trailer and a Forza tech demo. The Star Wars stuff may as well be CGI without knowing how the actual gameplay works in a live setting. Also, it took us how long to get a decent modern Star Wars game? Consider me skeptical until proven otherwise. As for the Forza stuff, it looks graphically impressive and I’ll definitely want to check it out on the floor. There’s lots of menus and choices to be made in a racing simulation and the Kinect UI should help out greatly there. I can’t help but be concerned over the long term viability of controlling a driving game holding your hands out and pantomiming, though. Where are the pedals? Won’t my arms get tired? Just because something is intuitive doesn’t necessarily make it a great experience in the long run.
  6. New Xbox 360 (Stealthbox) – What? We got an extended demo of a little Asian girl playing with a virtual tiger and barely a couple of minutes to describe an radical redesign of your flagship product? And it’s shipping right now?! Milkawha??  The new Xbox 360 does look pretty sleek (albeit slightly ZOMG STEALTH FIGHTER COMPUTER CASE mod), with built in 802.11n and vastly superior noise reduction. If I didn’t own an Elite, I would jump at the chance to upgrade. As it is, I can’t justify the $299 price for what amounts to more hard drive space and less noise. Definitely a good time to buy an Xbox 360 for the first time, though.

I really hope the Kinetic titles are much better in person. The idea of affordable motion capture technology is very compelling, but most of the titles Microsoft showed here were uninspiring at best. Harmonix has the right idea with Dance Central, but it’s not a system seller. Where’s the Halo or the God of War or the Mario of Kinect?

Sony and Nintendo, the ball is in your court.

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Windows 7 Party Pack Unboxing (or Everything You Need For A 7 Year Old’s Birthday Party)

FYI: The playing cards were a pretty high quality Bicycle deck.