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Nearly a third of Xbox 360 owners oblivious to Xbox Live Arcade

Microsoft was proud to boast at Gamefest 2007 that its Xbox Live gaming service has garnered more than 7.1 million users, reports GamesIndustry. Not only are there many gamers going online – they are also buying content. Microsoft said the attach rate for Xbox Live Arcade games is about six to seven games per user.

While Microsoft’s entertainment and devices division saw a loss last quarter, the company is making money from its Xbox Live service. According to Gamasutra, Xbox Live Arcade games see an average 156 percent financial return over 12 months for titles published so far, with over $30 million made on the service to date.

Interestingly enough, the gains that Microsoft is enjoying from its Xbox Live service doesn’t come from its entire user base. According to industry research from Frank N. Magid Associates, cited by GameDaily, 30 percent of Xbox 360 owners have never even heard of Xbox Live Arcade. And of those who have used Xbox Live Arcade, only 28 percent have purchased at least one game from the service.

Even with Xbox Live Arcade penetration not at its full potential, Microsoft is predicting that it will rack up 45 million downloads and more than 100 games on the service by the end of 2007.

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Attach Rate
By kibets on 8/14/2007 10:00:56 AM , Rating: 2
I only buy one or two games a year but probably spend $60/month on downloading video content on Xbox Live! I love it, just wish the HD content would download faster. They have really improved the number of available titles.

RE: Attach Rate
By FITCamaro on 8/14/2007 10:09:35 AM , Rating: 2
I don't know about video, but downloading things like demos is extremely fast. Granted HD video is much larger. But on my connection, it maxes out my download speed when downloading from Live. I get about 500-800 KB/s. I downloaded about 35MB in under a minute. Which to me is damn good.

Just saying its probably your connection slowing you down, not Live.

RE: Attach Rate
By Netscorer on 8/14/2007 10:19:32 AM , Rating: 2
I also wish they would lower the price for the HD content to the SD level. Let the people decide what resolution they want to download based on their TV capabilities, not on the price.

RE: Attach Rate
By afkrotch on 8/14/2007 2:28:49 PM , Rating: 1
Ya, you can download videos off Amazon too. Guess what though. You are stuck within specific console settings or region to download. My 360 is worthless at downloading videos, cause I'm not allowed to do it.

I bought a Japanese Xbox 360 so that I could play Japanese games (not to mention, it was extremely cheap for the console and easily available - was living in Tokyo during the time), as Microsoft is an ass and region locked their games. Luckily enough many publishers either put multiple regions on their games or simply left them regionless. My US Gears of War works fine on my Japanese Xbox 360.

I also could easily purchase videos, until the Spring update, when Microsoft locked that down and lost my money. What for? Hell if I know. So now, I have a bunch of worthless Microsoft points. I'm waiting for more Idolm@ster content to spend the points. After that, they can suck my nuts. I'm not subscribing to Xbox Live Gold again.

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