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Will Best Buy's Kin price cuts be what the doctor ordered?

By | June 1, 2010, 1:49pm PDT

After some staunch criticism from key gadget-centric bloggers and press, the Microsoft Kin platform — launched just less than a month ago — is getting a price cut.

It’s not Verizon that’s doing the cutting; it’s Best Buy. Best Buy is making the Kin 1 available for free and the Kin 2 for $50. (No ridiculous mail-in rebates required.) Verizon is still selling the phones for $50 and $100, respectively.

Yes, the data plan for Microsoft’s phones aimed at the teen/20-something market is still pricey, but at least the phones aren’t if you get them at Best Buy.

“The price cuts could help: they make the Kin 1 a free phone, and while it’s not as functional as a high-end smartphone, it’s better than a lot of the basic phones that most carriers give away for free,” said Directions on Microsoft analyst Matt Rosoff. “The data plan still seems a bit steep, but if it’s purchased in the context of a family plan, it’s not so bad.”

While Microsoft has been trying to downplay the differences between the Kins and other Windows Phones, the different operating systems they run and the fact that no apps are available for the Kins has led many to scratch their heads about Microsoft’s wisdom in further diluting the Windows Phone brand at the very time the company is attempting to consolidate its mobile marketing message and strategy. Microsoft Regional Director Andrew Brust, in an open letter to CEO Steve Ballmer about Microsoft’s consumer strategy, suggested Microsoft “kill the Kin quietly.”

“I think Microsoft is committed to seeing the Kin through and giving it the best possible chance to succeed at market, but I really think that Windows Phone 7 is the core of the company’s smartphone strategy, and I’d expect most of the company’s energy to go into promoting that platform once it comes out,” said Rosoff.

What do you think? Is the Kin a help or a hindrance, in terms of Microsoft’s attempt to reverse its eroding mobile market share?

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Topics

Mary Jo has covered the tech industry for more than 25 years for a variety of publications and Web sites, and is a frequent guest on radio, TV and podcasts, speaking about all things Microsoft-related. She is the author of Microsoft 2.0: How Microsoft plans to stay relevant in the post-Gates era (John Wiley & Sons, 2008).

Disclosure

Mary-Jo Foley

Freelance journalist/blogger Mary Jo Foley has nothing to disclose. WYSIWYG (what you see is what you get). I do not own Microsoft stock or stock in any of its partners or competitors. I have no business ventures that are sponsored by/funded by Microsoft or any of its partners or competitors.

Biography

Mary-Jo Foley

Mary Jo Foley has covered the tech industry for 25 years for a variety of publications, including ZDNet, eWeek and Baseline. She has kept close tabs on Microsoft strategy, products and technologies for the past 10 years. In the late 1990s, she penned the award-winning "At The Evil Empire" column for ZDNet, and more recently the Microsoft Watch blog for Ziff Davis.

Got a tip? Send her an email with your rants, rumors, tips and tattles. Confidentiality guaranteed.

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RE: Will Best Buy's Kin price cuts be what the doctor ordered?
tomlin21-24319035676893835085146735905770 11th Oct
I might such as this useful posting to finish my assignment nfl jersey even while while in the college, and it is really correct make any difference in addition to your publish. Many thanks, amazing share.
0 Votes
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It's a firesale
gjafg 1st Jun 2010
This is a firesale. Clearance of junk stock.

The Kin is an industry joke. So limited. You can Google to read about its missing features and what it can't do. These hobbled handsets should be withdrawn from sale.
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@Market Analyst
Oh... wait... you iPhone guys are still waiting for iPhone to catch up to the rest of us. I really hope for your sake you finally get multi-tasking this year. It's a great feature. I know, I've had it for years on Windows Mobile... you know... the smartphone that isn't crippled!

Cue the double standards...
0 Votes
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Market Analyst, you the ZDNet joke!

You're much more like MS then you would ever admit

LMAO! wink
  • Flagged
0 Votes
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as it seems they were forced to give them away! happy
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Happens with Android devices all the time
John Zern Updated - 3rd Jun 2010
Opps, Sorry DB, I wasn't supposed to bring that little fact up. A Nexus One, anybody...

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Verizon's required data plan is still what will kill these phones. The phones are great and you could say revolutionary as far as the UI goes, but as long as Verizon is requires the data plan then these phones won't sell as well as they'd hope.
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Agreed
jjworleyeoe 1st Jun 2010
One would have thought/hoped that M$ would have worked with Verizon to create better stratification of data plans. Something along the lines a $20 a month that includes a modest amount of data usage as well as unlimited text would have been nice. Moreover, it's a joke that I can't buy a modern smartphone that lets me text and pay-for-drink Internet usage.
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@jjworleyeoe

But it looks like Microsoft is defending the high data pricing:

Microsoft senior product manager Greg Sullivan - .....once customers "realize the value of this, they'll realize it's a great deal.

http://www.engadget.com/2010/05/12/microsoft-and-verizon-say-kins-monthly-pricing-isnt-crazy-whe/
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And Apple defends its crazy pricing
NonZealot 1st Jun 2010
@dave95
So what's the difference? Oh, right, you worship Apple. I forgot.

Cue the double standards...
@NonZealot

Must you constantly interject with your zealotry?

I don't recall Apple releasing a feature phone at the time everyone was using smart phones, and requiring users to buy the same expensive data plan as full feature smart phones. Even MS staunch supporters can see this as a big fail.
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if that's the case, why not give a try and see what happens? You never know, the price cuts could cause it to catch on.
The kin is for teens and pre-teens, but the ads are about girls visiting that STRANGE OLDER GUY who you meet in Facebook.
How is the Kin like Fillet Mignon?

You have to wrap a Fillet in bacon to sell it, and you have to wrap a Kin in a ten dollar bill to clear it out...
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What on earth was Microsoft thinking, releasing the KIN?

KIN is an orphan, which has no next of kin. It is incompatible with the current Windows Mobile. It is also incompatible with the future Windows Phone 7.

Billed as a social media phone, yet it can't do Twitter properly. Billed as "always on", yet it has a 15 minute delay to update messages. Billed as "smart", but it can't run apps, failing the very definition of a smartphone.

Time to put the awful orphan phone out of its misery.
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Kin is no where near a smartphone
wackoae 1st Jun 2010
If anything, it is just a toy with a very expensive monthly bill for useless features.
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@Market Analyst
Billed as a social media phone, yet it can't do Twitter properly. Billed as "always on", yet it has a 15 minute delay to update messages. Billed as "smart", but it can't run apps, failing the very definition of a smartphone.

Gee, sounds exactly like the iPhone when it first came out but people swore that it was just perfect!

Cue the double standards...
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Aren't you ashamed of always ...
wackoae 1st Jun 2010
... coming out as the clueless fanatical idiot??

Dude, have some personal dignity. Take your meds at least 30 mins before posting.
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Imagine the joy on the kids faces...
HollywoodDog 2nd Jun 2010
on Xmas morning.
"Kids, I didn't get you the iPhone, but I did get you this. It's a Windows 7 phone with Microsoft branding and Zune services.
Hold our for Windows Mobile 7. It'll revolutionize the whole world, and stuff.
I see Kin as live market research, but it exposes pricing issues with all smart phones. Once unlimited texting and web become low enough, the flood gates will open up for smart phones.
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Amazon has now joined Best Buy in its Kin clearance, selling the phones for 1 cent. Mary Jo, can we get a follow-up story with sales figures? It would be interesting to know how the Kin is selling. Even anecdotal figures from stores, or whatever is available. Or possibly, Microsoft will try to kill the Kin quietly, with the minimum of media attention.
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Oh no, Kin is going to conquer the world
HollywoodDog 2nd Jun 2010
@Market Analyst they just moved manufacturing to Foxcomm
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It was overpriced for what it is
John Zern 3rd Jun 2010
it's a really nice phone from seeing it first hand, but it should be priced along the lines of feature phone, not a smart phone
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Kin Data Plan
TuneUp Utilities 4th Jun 2010
It will be interesting to see what affect the Kin?s price cut will have on its? sales. There is a lot of hype about how the Kin is great for social networking, and I think this might be very appealing to people, despite the fact that there is a required data plan. Even with the data plan, cutting prices creates more buzz about the Kin, which can?t hurt!
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RE: Will Best Buy's Kin price cuts be what the doctor ordered?
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RE: Will Best Buy's Kin price cuts be what the doctor ordered?
tomlin21-24319035676893835085146735905770 11th Oct
I might such as this useful posting to finish my assignment nfl jersey even while while in the college, and it is really correct make any difference in addition to your publish. Many thanks, amazing share.

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