Microsoft deep throats have confirmed to Paul Thurrott that the much rumoured pricing options for Microsoft's next-gen platform, claims always-online requirement are accurate.
Thurrott has claimed that the Xbox 720 will launch in November beginning at $300 for a subscription-based model. A standard model will sell for around $500. In other words it is going to be very expensive. But he said that the Xbox 720 won't be the only new Xbox on shelves this season. Microsoft is planning a $99 "Stingray" Xbox 360. There is no information on what this box is yet.
Thurrott said this is a confirmed feature for the platform, claiming the system's notes specifically state that the Xbox 720 "must be Internet-connected to use." Apparently the Xbox 720 reportedly stops functioning if an Internet connection drops for three minutes. This was my experience of the early Xbox so I am not surprised.
Thurrott said Microsoft is planning a reveal event on May 21.