RancidLunchmeat
Veteran
I hope prices to be lower, I will buying the license, not the game itself.
I don't know if the DRM thing will make game prices lower, publishers want more money not less. Although, if they are strictly digital and the publishers are in control of pricing, you may very well see timed discounted pricing, ala Steam. But I wouldn't expect this would impact the pricing of new, Day 1 sales.
But I do think what might impact pricing is the broadband requirement. MS has given up a huge chunk of their potential market by limiting the One to only those with broadband. To me, this is a sign they don't believe they can recover the costs of a loss-leading console through game sales alone. The broadband requirement is there to make sure their customers have the ability to purchase additional services through Live. So the price of the One might actually be lower (or subsidized to a greater extent, depending on your perspective), than otherwise because they aren't selling the console to people who will only use it as a BR player or will only play off-line games and can't purchase additional services at huge profit for MS.
It also means that they can probably increase their advertising fee schedule as their entire costumer base will now be obvious to advertisers, 100% of sales.