Microsoft unbundles Kinect from Xbox One

LOS ANGELES — In a move to spur sales of the Xbox One and catch up with rival Sony’s PlayStation 4, Microsoft Corp. said Tuesday it will start selling the console without the Kinect sensor, which cuts $100 from the price.

The new price of $399 begins June 9.

Microsoft says it is also allowing entertainment apps like Netflix to be used on both the Xbox One and the older Xbox 360 console without having to pay for an Xbox Live Gold membership, which costs $60 a year.

The membership will continue to be required for multiplayer game mode, but it will also provide discounts on games and free games.

Phil Spencer, who was named head of Xbox in March, said unbundling Kinect was important to reaching more fans.

“Value is important,” he said in an interview. “Making sure you have an opening price point that can reach as many people as possible is critical.”

Microsoft said last month that sales of Xbox One had slowed to 1.2 million in the quarter through March, compared to the 3.9 million it sold in the holiday quarter. The total of 5.1 million was behind Sony’s 7 million in sales of the PS4. Both launched in November.

Spencer added that it no longer made sense to reserve apps such as Netflix and YouTube to paying subscribers since such apps are widely available on DVD players and other Internet-connected devices.

More in Herald Business Journal

Peoples, HomeStreet banks bump lowest salaries after tax cut

The banks with Snohomish County branches will raise minimum salaries for employees to $15 an hour.

Electroimpact cuts Mukilteo staff by 9 percent

“What we’re missing now is a monster anchor project,” the company’s VP said.

Exotic animals find compassionate care in Bothell (video)

At the Center for Bird and Exotic Animal Medicine, vets treat snakes, hedgehogs and even kangaroos.

How can you tell if you are getting good financial advice?

Assume that it’s still the same buyer-beware market that has always existed.

Amanda Strong (left) tries on an Angel of the Winds Arena hat as she and Courtney Brown hand out gift bags after the renaming ceremony Dec. 13 in Everett. The new name replaces the Xfinity name. (Andy Bronson / Her file)
Angel of the Winds to break ground on $60M casino expansion

“We think we’re on the cusp of becoming a major resort.”

In this Dec. 20, 2017, photo, a clerk reaches to a shelf to pick an item for a customer order at the Amazon Prime warehouse, in New York. (AP Photo/Mark Lennihan, File)
Amazon’s potential HQ2 sites leaves many cities disappointed

And yet, some municipal leaders are looking at the bright side of being rejected.

How do you retrieve an errant Boeing 737 from a muddy slope?

Turkish authorities used cranes to lift a plane that skidded off a runway.

Don’t take economic forecasts to the bank — or the casino

Air travel delays could spur a rebirth of passenger rail service.

Emirates orders 20 more Airbus A380 jumbos, saving program

The Dubai carrier also has options to buy 16 more. The program seems safe until 2029.

Most Read