If this turns out to be real, why would anyone go for this deal when it is $40 cheaper to just buy the console and pay for Xbox Live? Paying an extra forty bucks for the privilege of being locked into a two year contract doesn't sound appealing to me at all.
The software giant will offer the 4GB console with a Kinect sensor at its range of Microsoft Stores in the US, subsidized with a monthly cost of $15. We're told that the two-year subscription will provide access to the Xbox Live Gold service and possibly some additional streaming content from cable providers or sports package providers. Customers who sign-up for the deal will also be covered under a two-year warranty.