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Microsoft Points Might Finally be on Their Way Out
Microsoft's maligned currency system is reportedly going to be phased out. By Chris Pereira, 01/24/2012
Since Microsoft launched the Xbox Live Marketplace alongside the Xbox 360 in 2005, there's been a nagging issue that's bothered many users: Microsoft Points. According to a report, they might be finally going away this year in favor of a more preferable setup.
Inside Mobile Apps reports a source has indicated Microsoft Points are to be replaced by real-world currencies by the end of the year, which means a new currency system would be put in place not only for Xbox Live, but also the Windows Phone and Zune Marketplaces.
Although Microsoft Points were initially the only way to make purchases on the Xbox Live Marketplace, that changed with the introduction of the Games on Demand service in 2009. The service, which sells digital versions of retail Xbox 360 games, allowed the titles to be purchased for real-world money. Microsoft continued to sell everything else -- XBLA games, avatars, downloadable content, movie rentals -- only in exchange for Microsoft Points. It was a puzzling decision, if also a promising sign that Microsoft was not hell-bent on using points for absolutely everything.
It's doubtful anyone will be sad to see Microsoft Points go. I know I couldn't be happier to get rid of them.
From the user's perspective, there's nothing beneficial about Microsoft Points, and what's problematic is they don't accurately reflect their value. 80 Microsoft Points is equal to $1, meaning a 400-point purchase is the equivalent of $5, 2400 points is $30, and so on. That makes it not only a confusing setup -- even after years of using them, I still have to use an online converter from time to time, and I'm often asked by friends and family what X number of Microsoft Points is equal to -- it's also misleading in that it looks like you're spending less money than you actually are.
It's not as if it's impossible for a points system to work, even if it isn't ideal. While Sony went the preferable route in pricing items in real dollars, Nintendo uses a system based on increments of 100 points for Wii digital purchases. The important detail there is that 100 points is equal to $1, so it's easy to see 800 points and know that's an $8 purchase.
Should this rumor pan out, that particular issue would be taken care of. The other problem with Microsoft Points is you've always had to buy them in a bundle, meaning if you wanted to buy something for 80 points but had none, you had to purchase more than is needed. The company has wisely made exceptions to this, such as allowing the UFC app to sell pay-per-views for real-world money and not points, and the problem was mitigated to some extent by lowering the smallest bundle on Live from 500 points to 400. (The 500-point package was a ridiculous idea as XBLA games are sold in 400-point increments, guaranteeing anyone who purchased one would be stuck with leftover points they may not want.) But for those who purchase points at retail, the cheapest option available continues to be a 1,600-point ($20) card.
Simply replacing Microsoft Points with your local, real-world currency doesn't immediately fix this problem -- Microsoft may decide to continue requiring a bundle of money be added to your virtual wallet before a purchase can be made. It's this problem that leads to money being left over, particularly if items are sold in amounts ending in $.99 when you're forced to add a money bundle ending in $.00. (In other words, if you add $5.00 to your wallet and purchase five things worth $0.99, you're left with five useless cents.) It's a problem Nintendo solved in last month's 3DS firmware update by allowing you to add only the exact amount of money that's needed. If this is something Nintendo has sorted out, there's no reason it should be a problem on Microsoft's system.
As expected, Microsoft isn't commenting on the matter at this time, labeling it rumor and speculation. But I'm hopeful these issues are finally addressed -- in this day and age, there's no reason why you shouldn't be able to buy only what you want without having to worry about how to spend some leftover virtual cash you didn't want in the first place.
Microsoft's maligned currency system is reportedly going to be phased out. By Chris Pereira, 01/24/2012
Since Microsoft launched the Xbox Live Marketplace alongside the Xbox 360 in 2005, there's been a nagging issue that's bothered many users: Microsoft Points. According to a report, they might be finally going away this year in favor of a more preferable setup.
Inside Mobile Apps reports a source has indicated Microsoft Points are to be replaced by real-world currencies by the end of the year, which means a new currency system would be put in place not only for Xbox Live, but also the Windows Phone and Zune Marketplaces.
Although Microsoft Points were initially the only way to make purchases on the Xbox Live Marketplace, that changed with the introduction of the Games on Demand service in 2009. The service, which sells digital versions of retail Xbox 360 games, allowed the titles to be purchased for real-world money. Microsoft continued to sell everything else -- XBLA games, avatars, downloadable content, movie rentals -- only in exchange for Microsoft Points. It was a puzzling decision, if also a promising sign that Microsoft was not hell-bent on using points for absolutely everything.
It's doubtful anyone will be sad to see Microsoft Points go. I know I couldn't be happier to get rid of them.
From the user's perspective, there's nothing beneficial about Microsoft Points, and what's problematic is they don't accurately reflect their value. 80 Microsoft Points is equal to $1, meaning a 400-point purchase is the equivalent of $5, 2400 points is $30, and so on. That makes it not only a confusing setup -- even after years of using them, I still have to use an online converter from time to time, and I'm often asked by friends and family what X number of Microsoft Points is equal to -- it's also misleading in that it looks like you're spending less money than you actually are.
It's not as if it's impossible for a points system to work, even if it isn't ideal. While Sony went the preferable route in pricing items in real dollars, Nintendo uses a system based on increments of 100 points for Wii digital purchases. The important detail there is that 100 points is equal to $1, so it's easy to see 800 points and know that's an $8 purchase.
Should this rumor pan out, that particular issue would be taken care of. The other problem with Microsoft Points is you've always had to buy them in a bundle, meaning if you wanted to buy something for 80 points but had none, you had to purchase more than is needed. The company has wisely made exceptions to this, such as allowing the UFC app to sell pay-per-views for real-world money and not points, and the problem was mitigated to some extent by lowering the smallest bundle on Live from 500 points to 400. (The 500-point package was a ridiculous idea as XBLA games are sold in 400-point increments, guaranteeing anyone who purchased one would be stuck with leftover points they may not want.) But for those who purchase points at retail, the cheapest option available continues to be a 1,600-point ($20) card.
Simply replacing Microsoft Points with your local, real-world currency doesn't immediately fix this problem -- Microsoft may decide to continue requiring a bundle of money be added to your virtual wallet before a purchase can be made. It's this problem that leads to money being left over, particularly if items are sold in amounts ending in $.99 when you're forced to add a money bundle ending in $.00. (In other words, if you add $5.00 to your wallet and purchase five things worth $0.99, you're left with five useless cents.) It's a problem Nintendo solved in last month's 3DS firmware update by allowing you to add only the exact amount of money that's needed. If this is something Nintendo has sorted out, there's no reason it should be a problem on Microsoft's system.
As expected, Microsoft isn't commenting on the matter at this time, labeling it rumor and speculation. But I'm hopeful these issues are finally addressed -- in this day and age, there's no reason why you shouldn't be able to buy only what you want without having to worry about how to spend some leftover virtual cash you didn't want in the first place.
