[quote name='SaraAB']If you are dead seat on buying a launch console at launch, if there is a subsidized console WITH an included warranty then that is the one to pick, if you get the console you WILL need a warranty for it. I know the subsidized stuff sounds like a bad deal outright but you will either be paying for a warranty or paying for a console replacement sometime in its life so just get the one with the warranty if it includes that. You are better off dealing with MS on the warranty rather than BB or some other retailer. Extended warranties on these systems won't come cheap either.[/QUOTE]
Actually, if you read what I wrote above and the other comments after it, the subsidized verion actually sounds like a good deal.
Based on a quick google search, it looks like 6% is the most common sales tax rate. So lets go with that.
$500 + 30 sales tax = 530 total
$300 + 18 sales tax = 318 total + 240 live subscription = 558
It's pretty clear that the subsidized model is superior. If you want to buy gold anyway then buying the console outright at 500 would be foolish given the fact that you're going to have to look for cheap memberships. What's the best you can find, maybe 30 on black friday? So if you're LUCKY you'll get it for 590 and most people will pay at least 40 for them.
So assuming you want the gold membership, the subsidized console is actually the cheapest route to go.
530 buying it outright and not paying gold.
558 buying it with a 2 year gold contract.
590 buying it outright and buying 2 one year gold subs at 30 each.
610 buying it outright and buying 2 one year gold subs at 40 each. (more likely)
If this is actually the way they do this, I can't imagine anyone is going to buy it outright. Sony is going to HAVE to do this with the Playstation as well to compete. With MS and Sony having schemes like this available, I think it's safe to assume that NO ONE will buy a Wii U for $300 or $350. They're going to have to cut the price more than just 100 even as that would put the model that people actually want at 250 which is still damn close to the 300 console prices. I believe they're going to be forced to have a $150 price cut on the Wii U if this subsidy rumor is true. MS and Sony are going to drive Nintendo into another massive loss.