Project Natal price to launch with room to drop

by James Ransom-Wiley on Oct 7th 2009 11:03AM

Speaking at the First Annual Microsoft Open House in Manhattan yesterday, E&D Division prez Robbie Bach danced around the issue of pricing the company's upcoming motion tech for Xbox 360. "Relative to Natal, we'll see how the pricing/costs work out," Bach said. "But I think people should expect it to be like other things: We work through the price curve, just like we have with other products."

Though muddled, Bach's comment does not suggest that Natal will hit retail costing an arm and a leg (geddit?), but rather the device's launch price will be set high enough for significant discounts to go into effect over time. Using Wii as the bad example, Bach emphasized that Nintendo's launch price and its new discounted price aren't notably different. "When you start at $249, I don't know that a [price drop to] $199 -- I don't know how much difference that's going to make in the marketplace," Bach observed. "We'll see."

Tags: first-annual-microsoft-open-house, microsoft, pricing, project-natal, robbie-bach, Xbox-360

Reader Comments (91)

I'd spend 120 with a compelling game for natal.. not much more than that.. but it has to come with a game thats good.. Seriously .. a very refined type of wii sports thing would be a good compliment to it..

I will not even consider buying it if it's over $60

It'll be $250 but come with a "free" 250GB Xbox 360 HDD.

Translation: "We don't realize that people will need an incentive to buy this instead of a regular 360 or Wii."

Also, announcing that a product that is still a year from release already has significant price drops planned for its future is downright bizarre.

I think it's pretty common knowledge that technology launches for a high price and will eventually drop.

In fact, I'm going to make a prediction here and declare that PlayStation 5 and Xbox 1440 will launch for a high price and will go through multiple price cuts.

If its common knowledge, then why are they announcing that fact? I appreciate the honesty, but it seems pointless.

I would probably need the $600 "Light Amplification System" edition. I would caution fellow projector (normal projectors, not rear-projection TV) owners about getting this. Based on my Playstation Eye experiences, it doesn't matter how good the body tracking is if the camera can't see you in the dark.

I do respect the Wii and PS3 motion efforts for at least being "dark room compatible".

Depending on how dependent Natal is on the visible range camera vs the infrared one you might be able to use infrared lights to get the tracking to work.

At least the Playstation motion controller would put your PS Eye to good use since the glowing ball would certainly work in a dark room.

Another person commenting on Natal who has no idea how it works. IT USES INFRARED along with a normal camera. Do you know what that means? It means it could track you in complete darkness because infrared is on a completely different wavelength than the visible light spectrum.

So your warning about light amplification is uneducated and pointless.

ok, since my earlier reply went down into the mists.. the gist of my comment @yousty: there are two cameras on Natal. IR and visible-spectrum. I'm assuming that the VS one is in fact used with games (like for talking with little AI kids).. And tbh it's the VS stuff that sounds more interesting. I'm not sure I'm wild about the air steering wheel that the IR would pick up.

If they make Natal too pricey it will be competing with the Wii, PS3, and PSP.

And as a current Wii/360 owner, I'm definitely eyeing a PSP-3000 as a future purchase over Natal.

Needs to be the cost of a standard title and ship WITH a game that shows what it can do. If MS can pull this off, they might see SOME success. However, if history has proved anything, Add-ons are NEVER successful. Just ask Sega....

Add-ons not successful?

See: Wii Fit

"[W]e'll see how the pricing/costs work out...I think people should expect it to be like other things..."

Like the hard drives and wireless adapters, right?

If it turns out to have amazing games, I'd pay $150

If it's marginal, $100.

If it really does work with PC, and the PC community can turn Windows into Minority Report style insanity with mods, I'd pay $200.

as would i.

Uh oh, I'm starting to get the feeling natal will cost more than a new 360. Not very smart if they want people to buy this thing. Wii was successful because it was affordable in comparison to the competitions prices, but I can't see MS courting the coveted casual market with a $200 system and a $300 add-on. This is starting to have 32x written all over it.

Yousty, Natal has two cameras. One infrared, one that's not. I'm assuming the "one that's not" actually does get used in games, otherwise why is it there?

I'm seeing some similarity between the PSP Go and Natal: Insofar as pricing. I think both overestimate the amount of money the general public is willing to pay for the device. I don't think Sony's motion offering is cooler or more original than Natal (the opposite in fact), but as a practical matter it has a better chance of success if they can keep it under $100 for the vibrator-like wands.

fuck that to be honest i already forked over £100 for the network adapter and 12 month live i was expecting it to be in the region of £60

Priced with room to drop? Like the overly expensive PSPGo? Oh great.

The lemming game companies continue to follow Nintendo off the motion-control cliff. Xbox 360 owners did not ask for this junk - if they wanted it, they'd buy a Wii.

Even worse will be the Natal "added functionality" to games, like when the Sixaxis garbage is shoehorned into an otherwise excellent game (Uncharted's grenade throwing, I'm looking at you)

Off the motion control cliff into a Blue Ocean, you mean.

Why hasn't anyone mentioned Rock Band/Guitar Hero peripherals? How about force feedback steering wheels? How many games are those compatible with that they justify their prices?

I don't know but if it's a game changer, around $150 or even $175 for natal w/ a bundle of compelling games would be decent.

I think the bundled game will have to sell the peripheral, not the other way around. Just like some say of Wii Fit.

Completely agree, I would much rather pay $150 for Natal than $120 for Tony Hawk's Ride.

Well at least they're letting us know ahead of time that if we don't buy it right away the price will go down.

Common sense could have told you that as well.

So what gives? Is Microsoft trying to market Natal as a console or an accessory here? I know I don't plan on spending more than $50 on an accessory regardless of how fancy it is.

"Is Microsoft trying to market Natal as a console or an accessory here?...I don't plan on spending more than $50"

The one word summary is "Nintendo". The longer explanation is that the success of peripherals such as the balance board have created an expectation that people are willing to pay more. In theory, it's not a bad assumption. Natal isn't tied to one game, or even one platform if you count the PC. The 360 experience will be expanded greatly, in theory.

Reality however, might prove to be disappointing. Nintendo has already grabbed the lion's share of the audience for Natal. The remainder are households with gamers wanting to involve their family, but don't have a Wii. Or gamers that are just interested in the Wii experience on a console that supports HD.

Still, all it might take is some application (ye olde killere appe) that is just SO FUCKING COOL it blows everyone away. I'm not sure the Pedo Bear simulator qualifies though.

Interesting people saying that Natal will flop at 150. You have Wii Fit, Rock Band, Guitar Hero as proof that a Add on with the right game can sell and sell big.

Natal can sell at 150 but what will sell it will be how great the bundled games are, how great MS integrate Natal with the 360 and its features and how great first, second and third party developers are able to create an experience which is makes Natal a must have.

I am sure MS will market the heck out of Natal so the key will be will they have the games to create the type of hype that Nintendo was able to generate.

"You have Wii Fit, Rock Band, Guitar Hero as proof that a Add on with the right game can sell and sell big."

Well, you also have an indication that interest in such high priced addons is diminishing. Your line of thinking is probably why they made Natal with that price point in mind. I can only speak for myself when I say that $150 is over my mental barrier for peripheral purchase these days.

I hope this comes out next Christmas as it would be an excellent gift (for me any ways)

Why is not having to drop your price by more than $50 almost three years a bad thing?

All Microsoft has to do is make Natal a necessary purchase in order to play Halo Reach, and then they can charge whatever they want for it.

And make millions.......

If the Xbox 360 is the Sega Genesis and the PS3 is the Super Nintendo. This Project Natal is about to become Microsoft's 32X.

Am buying it no matter the price ,just so i can give my own opinion on it without anyone's 2cent's.to make me think otherwise .besides i have never been let down by any of MS products since i've become a consumer of thier products.tough part is wait for release date .

no one buy this till the price drops to 99.99

Sony is definitely loving this news.

Their superior motion control peripheral will probably launch at a third, or maybe a quarter of the price of Natal.

What should realy make everyone mad is that Microsoft just openly told everyone they are planning on over pricing Natal to take advantage of idiots who will pay too much for it. Then after alot of us have caved in and spent too much money on it, they are going to lower the price. I know most business do this but, I find it insulting to brag about it. I bet Natal starts close to $200 then falls gradually. They will argue a Wii cost $200 and Natal is like owning a Wii. I will buy it only if the games prove to be amazing. Natal will be revolutionary but I bet alot more will sit around doing nothing compared to what people think.

It sounds that Natal is going to be a bit pricey at release, I was just saying "not TOO pricey".

I won't be happy paying over 100$ for it, but everything below it will be a good price.

I would in the end, prefere an upgraded console with Natal in it. Even if it means more money out of the vallet.

I think the nintendo tactic of pricing it low in the first place is more successful... just from looking at sales. Oh, and profits.

But, if they want to price it high for launch day idiots...

It's a camera system. Not a new console. It had better be freaking amazing if it's anything over $100-150, with a pack in (or several) to prove it.

Previous 50 Comments

Project Natal price to launch with room to drop

Reader Comments (91)

Posted: Oct 7th 2009 11:49AM mikeisgo said

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