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Microsoft: $99 for a 250GB Xbox on Two Year Contract

Back in May, Microsoft introduced a subsidized Xbox 360 bundle that allowed customers to pick up a new 4 GB Xbox 360 and the Kinect motion sensor for only $99. The catch was that you also had to subscribe to a new two-year Xbox Live Gold contract for $14.99 a month. Microsoft originally had this offer only at its Microsoft stores but it was expanded to additional retailers in June.

Things must be going well for Redmond and its subsidized Xbox, though, as the company today added two new bundles to the subsidy program. Microsoft's site now shows a 250 GB XBox for $99 on a two-year contract, and a 250 GB model with Kinect for $149 on a two-year contract. It also looks like Microsoft may be expanding beyond Best Buy, GameStop, and the Microsoft store, as the website invites visitors to "check back later to see a full list of participating retailers."

There will, of course, be an Early Termination Fee for those that decide to drop their Xbox Live service before the two-year contract expires. Microsoft hasn't offered additional details on the ETF, but we assume it'll be something similar to before, which was up to $250, depending on the remaining time on the contract.

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