After two years, Microsoft can offer upgrades to newer models of the Xbox, similar to how wireless carriers offer upgrades to phone buyers, keeping them locked out from competitors.
Here's how it works: You can pick either a Microsoft Xbox One S or the more powerful Xbox One X. Instead of buying it outright, however, as you might typically have with any other game console, you'll pay a small monthly fee for it. The Xbox One S costs $21.99 per month for 24 months while the Xbox One X costs $34.99 per month for 24 months.
After two years, you own the console. The monthly payments also include access to Xbox Live Gold, which is required for playing multiplayer games online. It also includes Xbox Game Pass, which gives you access to more than 100 games you can download.