XBOX for the Mathematically Illiterate

Microsoft recently announced a new "subsidized" plan to sell the 4 GB Xbox 360 model with a Kinect sensor for $99 and a required 2-year subscription to Xbox Live for $15/month, which cunningly comes out to $360 in subscription fees.

Total cost for the "subsidized" system + 2 year subscription:  $459.

The big catch here is that you can get the same system for ~$290 and an Xbox Live subscription for ~$50/year.

Total cost of non-subsidized system: $390.

I'd go with the $70 cheaper non-subsidized system.