Games on Demand is going to be the death of my bank balance. *For those who are not taxed when purchasing points I highly suggest you use that method for game purchases I did a couple game purchases with points and a couple with debit card. Debit card purchases included tax (which is new for me on the 360 but the same as on the PS3). I really need a better priced larger hdd to be announced or serious price reductions on the 120GB.
My "solution" is going to be buying one of the Elites at $299 when the price drops and trading in my 360. It's lasted me nearly 3 years, and I'm glad for it's service, but I get the feeling it's not going to make it another 3 years. HDMI + 120GB + 3 years of red-ring warranty + new controller.
But of course, if I weren't, I'd be looking at the HDD prices and fuming. Like I was earlier today after looking in 3 Sears and a Target hoping to spot the drives massively discounted through clearance. Phoenix AZ is at the ass end of the universe, but not in the right kind of way to find those deals, apparently. Everyone and their dog on NeoGAF seems to have no problem, though!
As for Games on Demand, however, I just don't see myself getting behind it.
XBLA games are one thing, but games going for full retail price even on much older games, oftentimes the inferior version ($20 GoD Oblivion + DLC vs. $30 for Game of the year edition? There's not even a contest here...), and to top it off: the lack of a disc means no reselling (though I never do) or lending out the game (which I do quite often). With the danger the service may up and atom disappear in the future, and the only advantage being that I don't have to have ANY disc in the tray to play, I can't see myself going digital this generation. Disc + install is the way forward, I think, and I'm not lazy or disorganized enough for the no-disc feature to be of much use to me.
Prior to now I thought I was read to go all-DD, but it would appear I was just fooling myself. I suppose I won't until DD is a first class citizen--with prices that reflect the fact that there are disadvantages to be had for me as a consumer, and advantages to be had for the seller since retailers are no longer involved. But of course, this isn't going to happen until retail is practically dead or otherwise no longer holds the kind of sway that they do currently.