Microsoft Corporation (NASDAQ:MSFT) has been dealing with various amounts of pushback in the weeks since it unveiled its Xbox One gaming and home entertainment console. (This article covers some of that.) With the competition heating up with Sony and its launch of PlayStation 4, loyal gamers – either of the Xbox or PlayStation tent – are watching very closely at the various features and benefits each company provides for gamers.
Microsoft Corporation (NASDAQ:MSFT), at least in some regards, was initially failing Xbox loyalists. First, there was the belief that the retail price was to high for what the console was offering. Then there was some outrage over Microsoft not allowing reselling of used games. Then there was the row about the Xbox One needing to be “always on” the Internet and there being no option to turn it off.
Some of these things have been addressed already, while others are still being considered or not. Another big point of contention among gaming fans has been the Kinect system that was such a staple on the “old” Xbox 360.
But this various issues have sort of led to the question as to whether Microsoft Corporation (NASDAQ:MSFT) did its market-research homework when it put together the Xbox One system. With this latest issue, Microsoft might have painted itself into a corner when it reportedly said that the Xbox One would not work without Kinect. Xbox gamers apparently did not like Kinect as a whole and have basically suggested if not urged Microsoft to not include it with the system bundle. It seems that Microsoft has reconsidered this policy – at least for now. But what might this mean, ultimately?
According to a report submitted by InsideGaming based on an interview with a source, Microsoft Corporation (NASDAQ:MSFT) will be offering two options for Xbox One bundles – a standard bundle that does not have Kinect and a “budget” bundle that will feature a smaller hard drive, priced in such a way as to perhaps underbid PlayStation 4. While this rumor of a summer 2014 release date for these bundles and the idea of having two bundles to choose from is not substantiated at this point, it does seem to make some things interesting. Like what, you ask?
Well, we think that just because Microsoft Corporation (NASDAQ:MSFT) is rumored to exclude Kinect from its bundles when they release next summer, that does not necessarily mean that the company has or will change the Xbox interface to allow access without Kinect as an option.
We think it’s possible that the device will still require Kinect to work effectively, and if it’s true that Kinect won’t be part of the bundles guess what? Kinect would then need to be sold separately from the bundle.
Do you think that is what users had in mind? Or do you think it was users’ idea to lower the price of the console? It is an interesting dichotomy – gamers seem to generally not like Kinect, but Microsoft may release Xbox One with the Kinect requirement. Is there a disconnect here, or is there something else going on with Microsoft?
If you are an investor like fund manager David Tepper (see his full equity portfolio), is this worth paying attention to for the sake of the company and the stock? Let us know your thoughts in the comments section below.
DISCLOSURE: None