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Microsoft Announces  Modern Warfare 2  Xbox 360 Console Bundle
Microsoft Announces Modern Warfare 2 Xbox 360 Console Bundle Exclusive
September 16, 2009 | By Chris Remo

September 16, 2009 | By Chris Remo
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    19 comments
More: Console/PC, Exclusive



When Infinity Ward's anticipated shooter Call of Duty: Modern Warfare 2 is released November 10, it will go on sale alongside its own co-branded Xbox 360.

During an Activision press event promoting the game, Microsoft announced a $400 bundle that will include a black Modern Warfare 2-themed console, a 250GB hard drive, two wireless controllers, and a copy of the game itself.

Immediately following the announcement, Gamasutra spoke with Xbox senior marketing director Albert Penello about how the deal got made and how Microsoft views Infinity Ward's latest title among the spectrum of Xbox 360 games.

"We actually get asked a lot to do this kind of stuff," Penello said of co-marketing deals. "This was a time when we had the idea and they had the idea."

He added: "We approached them six to eight months ago with various thoughts about what we were going to do to market the game. It was a mutual meeting of the minds."

Asked whether Microsoft and Sony attempt to be the first to the punch with initiatives like pack-in bundles for big holiday titles, the marketer said that publishers and manufacturers need to start collaborating far too early for that to practically be the case.

"We have to plan this stuff so far in advance," he said. "But by the time it's done, it ends up appearing that there's some similar thinking. We've been working with Call of Duty, and we knew it was going to be one of the biggest games of the year. We've done this with Halo in the past, so every once in a while when there's a great game, we try to do something cool."

And Penello believes the Xbox 360 team-up is particularly appropriate in this case: "Every generation has games that get associated with [certain] consoles," he added. "Because of how strong the multiplayer is, and since we're going to have downloadable content first, it's a game that I think is associated with Xbox."


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Comments


Dan Robinson
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All I want to know is, where can I get a 250GB hard drive for my 360?

Adam Flutie
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Will MW2 have local multiplayer? If not this is a bust. Why would someone spend $400 on a console with two remotes, a game, and a bigger harddrive if they can just get a $300 console plus the game they want for $60? It seems like the only selling point of this is the hard drive. And if that is the case why not just put the drive in the Elite from now on (at $299) and have a leg up on Sony?



This bundle is for the accounting challenged.

Isaac Lanier
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I have to agree with Adam not saying it aint a good deal, its a great deal. but to keep PS3 sells in check. same size hdd, same number of controllers, MS took out the hd-video cables with the elite price cut, so the PS3 299$ deal is better. just a little while ago i was surfing and i came across something that said MS is working on a terraflop hdd for the 360. Im waiting on that before i upgrade my new elite. or 500 gig

Kevin Jones
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@ Adam Flutie

:"Will MW2 have local multiplayer? If not this is a bust."



Why is that?

You are only going to use the console to only play MW2?

Did they just make a law whereby when you buy this console, you are prevented from playing other games on it?



@ Adam Flutie

"Why Why would someone spend $400 on a console with two remotes, a game, and a bigger harddrive if they can just get a $300 console plus the game they want for $60?"



Because the extra controller by itself alone costs $50, so you have



XBOX 360 Elite : $300

MW 2 : $60

Extra controller : $50 (almost everyone buys an extra controller)

Extra 130 GB hard drive: At least $100 (the XBOX 360 120 GB hard drive sells for $150)

Total $510



You save yourself $110.





@ Adam Flutie

"It seems like the only selling point of this is the hard drive"



Wrong!



But hey, just keep trolling will ya?

Kevin Jones
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@ Adam Flutie

:"This bundle is for the accounting challenged"



Naaaah.

YOU are accounting challenged.

See my post above.

Kevin Jones
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@ Isaac Lanier

:" but to keep PS3 sells in check. same size hdd, same number of controllers, MS took out the hd-video cables with the elite price cut, so the PS3 299$ deal is better "



The PS3 doesn't have HD cables either.

Anyways, consumers seem to like the deal. The new 250Gb MW2 360 bundle is sitting aright at the top of the "movers and shakers" on Amazon right now:

http://www.amazon.com/gp/movers-and-shakers/videogames/ref=pd_ts_
vg_mte

Adam Flutie
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@Kevin - 2 years ago I picked up an elite for $400. It had two controllers, 2 games, a HDMI cable, etc... two years ago. If I expected to see the same bundle with one less game 2 years later I would expect a price drop at least...



The controller is $35 tops, not $50. so...



XBOX 360 Elite : $300

MW 2 : $60

Extra controller : $35 (almost everyone buys an extra controller)

Extra 130 GB hard drive: At least $100 (the XBOX 360 120 GB hard drive sells for $150)

Total $495



What is the difference? the HD... oh that is what I said wasn't it? And you can't buy the bigger one separate (at least it hasn't been announced yet)... SO.. 300 + 60 + 35 = 395... Looks like I saved $5 and still got plenty of space...



I can see why those that still haven't picked up a 360 would get this then... maybe after 2 years of thinking about it they figured they might as well go for it finally. They get some more space... ok. at best it is a wash then.

Kevin Jones
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@ Adam Flutie

:"The controller is $35 tops, not $50. so..."





The controller is listed at $50 on Amazon. even discounted by 24%, it still comes to $37.99, not $35.



http://www.amazon.com/Xbox-360-Wireless-Controller-Black/dp/B000O
YITQO/ref=pd_ts_vg_55?ie=UTF8&s=videogames



@ Adam Flutie

"What is the difference? the HD... oh that is what I said wasn't it? And you can't buy the bigger one separate (at least it hasn't been announced yet)... SO.. 300 + 60 + 35 = 395... Looks like I saved $5 and still got plenty of space"



Nice try.

Your voodoo math is not working dude.

You can't buy the 250Gb drive seperately so therefore there is no extra 130 GB of hard drive space?

Reality: There IS 130Gb of EXTRA hard drive space, and that 130GB of extra hard drive space is going for over $100, going by the current price of the 120GB 360 had drive.

And you are STILL saving yourself $110.

With the new full 360 game downloads each of which can consume 6GB of hard drive space, plus great XBOX Live Arcade games, you are gonna need all the hard drive space you can get.

Tyler Peters
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When did Gamasutra become fanboy site???

Kevin Jones
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@ Tyler Peters:" When did Gamasutra become fanboy site??? "



Every gaming site is a fanboy site.

Always been. Always will be.

Fanboys just can't help themselves.

[User Banned]
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This user violated Gamasutraís Comment Guidelines and has been banned.

Alberto Barbosa Cabrera
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@Tyler Peters



I totally agree with you. I used to like better this site before these fanboys took over........

zed zeek
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Relax when next months NPD figures come out + most likely show that GH5 has outsold RB beatles Im sure kevin will be to ashamed to show his face.

Mohales Deis
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Please, God please. Stop the bickering. I see this as a professional site and I can not see this become anything less. Please some of this discussion belongs on other game websites. I'm a member of 1up and this kind of arguing is basically okay there but please as a sign of respect and professionalism don't do it here. Just using the term fanboy here is knocking the place down a couple notches. Once the name calling (ANY name calling) begins then what was being established here is depreciated.





Really I'm not sure if this is a wise business decision. It's okay for marketing because it further associates the 360 with FPS, multiplayer, and I guess "the hardcore" which is something I thought Microsoft was trying to move away from but hey. However as of now 360 and PS3 have switched places and is now the most expensive system on the market. With the current economic condition coupled with a long holiday buying list can this fit on people's budget and will it get a second look by consumers?



As a gift buying idea. Slick new recently price cut PS3, the everybody wants one system which is now $50 less Wii or a $400 system that maybe near US market saturation. All the bells and whistles can be purchased later by the receiver of said gift. Furthermore they chose an already established game and franchise. It is reasonable to believe that most people who want MW2 already had part one and COD5 which also means they probably already have a system to play it on. This package also seems to be aimed at a demographic that should have long been pulled in with Halo 3, COD 4, COD 5, GoW, GoW2, and Bioshock. In my opinion bundles are best suited for hyped up new IPs or established franchises making a system debut a la MGS4, Halo 3, God of War 3, and FF13.



This may rack in sells but I just think they could have done better...but then again they may not have that many options.



P.S. Kevin Jones

The link you provided for Amazon doesn't have the 360 anywhere on that list a day later. I wouldn't depend on Amazon's shack 'em list for market research. Although again it may still sale.



MDeis

Management, Marketing, HR, Psychology, and Computer ANimation Student

Adam Flutie
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First, sorry if I came off 'fanboyish'. My intention was to point out opinion similar to what Mohales talked about. Thanks for sharing it.

Kevin Jones
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@ zed zeek

:" Relax when next months NPD figures come out + most likely show that GH5 has outsold RB beatles Im sure kevin will be to ashamed to show his face"



Given that there is very little chance of GH5 outselling RB Beatles, you may find that it's you that is forced to take a strategic retreat.

We'll see soon enough won't we?

Kevin Jones
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@ Mohales Deis

:"Just using the term fanboy here is knocking the place down a couple notches."



Oh Puleeze! Save us the sanctimonious pretence.

Where do you live at?

In a convent?

The term "fanboy" has long ceased to be a pejorative on gaming sites.

Nothing much wrong anyone being a fan of one system or another. Different people have different tastes and preferences in life, drive different cars, date different types of women, different clothes, food etc, why can't they show preferences for a video game console, and defend that video game console on internet gaming sites?

Plus you know of course that you don't have to read any comments you don't want to, don't you?

No one is forcing you to read comments you don't like.



@ Mohales Deis

"It's okay for marketing because it further associates the 360 with FPS, multiplayer, and I guess "the hardcore" which is something I thought Microsoft was trying to move away from "



Given that Microsoft makes most of it's money on the 360 from FPS's like Halo and Gears, why on earth would Microsoft "move away" from FPS's?

Sure Microsft wants to broaden the 360's market further to include the casual gamers, but that is not going to be at the expense of the hardcore FPS gamers that make up most of the 360's install base, XBOX Live members and bring in most of the money for Microsoft.





@ Mohales Deis

:"However as of now 360 and PS3 have switched places and is now the most expensive system on the market"



Nonsense.

PS3 one SKU :$300



360

Arcade: $200

Elite : $300



Average price of the 360: $250

Price of the PS3's one SKU : $300

The 360 is cheaper.



@ Mohales Deis

:"With the current economic condition coupled with a long holiday buying list can this fit on people's budget and will it get a second look by consumers? "



The lower income demographic can always buy the $200 360 Arcade, the cheapest current gen console on the market. Thats what it's there for.



You know, it's funny you start your post off my taking a holier than thou attitude to "fanboy" postings, then proceed diectly from there to post the most pro-PS3 fanboy post on this entire thread.

Amazing.

**shakes head***

Kevin Jones
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@ Mohales Deis:" It is reasonable to believe that most people who want MW2 already had part one and COD5 which also means they probably already have a system to play it on."



# 1. While millions of people have already bought COD4 and COD WaW and bought 360's to play the games on, there are still millions more out there, that want to play MW2, but have not bought 360's yet.

Remember when the COD4 came out in 2007, the Arcade was still selling for $280, while the Pro(20GB at the time), was selling for $350, with the Elite at $480, so COD 4 only sold to potential gamers that were prepared to pay from $280 to $480 for their consoles in order to play the game. Today, the lowest piced 360 is only $200 for the Arcade. The sweet spot for console sales is $200.



# 2. Past experience shows us that really big shooters/games sell consoles/hamdhelds, even if there has been a previous iteration of that game on that console before.

I'll use 2 examples:



a. Halo CE and Halo 2.

Halo CE(Combat Evolved) was a launch title for the XBOX in 2001, and went on to sell millions.

However in 2004, Halo 2 was launched, and what happened to XBOX console sales?

Well XBOX console sales shot up, despite Halo 2 being the second Halo on the XBOX, and despite people saying the same thing you are saying now, which was "most people that want to play Halo would have bought the XBOX already". It turned out to be wrong.



Let's just look a the sales figures shall we?

November 2003 XBOX sales: 480,000 (No Halo launch)

November 2004 XBOX sales: 700,000 (Halo 2 launched in November)

So Halo 2 gave the XBOX a 45% sales increase year on year.



b. The second example I am going to use is from Japan.

DQ IX was launched in Japan just a few weeks ago on the DS. Thing is, there had already been a DQ V III launched in the same DS back in November 2004, and it went on to sell in huge quantities in Japan.

Meanwhile, the DS itself has sold 27 million units in Japan life to date.

So you would have thought that with 27 million units already sold, and with DQ VIII having already been released on the DS back in 2004, the luanch of DQ IX on the DS wouldn't affect DS sales much, yes?

Well, no.

The launch of DQ IX led to a huge uptick in DS sales.



DS sales ( Media Create)

June 29 - July 5, 2009

DSi - 46,855 (Before DQ IX launch)



July 6 - 12, 2009

DSi - 118,20 (DQ IX was launched that week. DS sales shot up 150%)



July 13 - 19, 2009

DSi - 96,986 (DQ IX was still pushing DS sales)



July 20 - 26, 2009

DSi - 80,362 (DQ IX was still pushing DS sales 3 weeks after luanch)



So big game launches DO push console/handled sales, even if its the second/third game in a series to be released on that console/handheld.

Mohales Deis
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Kevin Jones I'm not here to start a heated argument and I'm sorry if you felt you had to respond the way you did. It's comments such as :



"You know, it's funny you start your post off my taking a holier than thou attitude to "fanboy" postings, then proceed diectly from there to post the most pro-PS3 fanboy post on this entire thread.

Amazing.

**shakes head*** "



That I was trying to steer from. I am not taking a "holier than thou" stand and making such accusations is really not fair. Whether you believe "fanboy" is pejorative or not it is still name calling and is attaching a tag to someone who is presenting a point. This disvalues their argument and accuses them of bias. I said I see this place as a professional arena and name calling is never seen as professional. I'm trying to put out an objective analysis on the situation and if it seems that somehow I'm choosing a side then maybe it's because I believe that is where the data is taking me. I said several times it may still sell well but there are some negative aspects to the strategy. And I'm just asking whether it is indeed the BEST strategy.



If you disagree then please just say you disagree and let me know based on the data. Please refrain from making stark unsubstantiated accusations into my character and purpose based off of one post. I sincerely apologize to anyone I have unintentionally offended.



"Given that Microsoft makes most of it's money on the 360 from FPS's like Halo and Gears, why on earth would Microsoft "move away" from FPS's?

Sure Microsft wants to broaden the 360's market further to include the casual gamers, but that is not going to be at the expense of the hardcore FPS gamers that make up most of the 360's install base, XBOX Live members and bring in most of the money for Microsoft."



If MS believes that the FPS's market and demographic is saturated or is on the verge of reaching a plateau then they would indeed set their sights on other demographics like they have already suggested. FPSís maybe their cash cows but now they are looking for rising stars. It's about the numbers and right now Nintendo's casual market is the one really bringing in the most profit. Not making a FPS themed bundle is not going to alienate their already strong FPS market and it wonít be at anyone's expense. While I don't have access to their primary research and numbers, from the outside it just didn't seem that this was the best example of practicing marginal benefits versus marginal cost analysis especially for the current economic and market climate. You bring a good point on the Live accounts, but there are many ways to keep it strong.



"The 360 is cheaper."



Yes the 360 has the least expensive OPTION. Excuse me if I was not clear. I'm not sure how limited this bundle is but it will take shelf space. What I was thinking is that a holiday shopper will see a $400 price tag and compare it to a $300 price tag. Adding other variables like the PS3 being the new slick option with better features and you may have a problem, small problem but a problem nevertheless. This may not be a strong argument but one I wanted to put out there. I noticed you used an average equation for price. I also noticed you left out the $400 360 version in that equation.



:"With the current economic condition coupled with a long holiday buying list can this fit on people's budget and will it get a second look by consumers? "



"The lower income demographic can always buy the $200 360 Arcade, the cheapest current gen console on the market. Thats what it's there for."



I'm debating the $400 360 not the $200 one. Arcade sells has nothing to do with the bundle sells. The question I'm putting forth is how well will this bundle sell and is it the BEST strategy for the current economy and holiday season.



You are suggesting that there are millions of consumers who want to play MW2 and who do not currently have a current generation system. I'm not sure how you arrived at "millions" but even then demand would be a fraction of your suggested number. The fraction because in order for there to be demand, there must not only be a desire to poses the product but one must have the resources to purchase said product as well. The unemployment rate is reaching 10% (true unemployment is much higher if you know the pitfall in the equation), general sales for video games have been declining from year to year, and on top of that a even more expensive option is being released. All of that coupled with possible near market saturation has me asking whether this was the best strategy for maximum profit this holiday season. They could have also released a bundle that only contained MW2 (no 250 Gig HDD or second controller) for maybe $240-$350.



I wonít get into detailed cross analysis but your two examples exclude a global recession, declining industry sells, GENRE saturation analysis, the idea that Halo was still young on the Xbox, console pricings, and other variables.



And thank you Adam Flutie for sharing as well.



MDeis

Management, Marketing, HR, Psychology, and Computer ANimation Student


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