XB1: This is how used games and DRM will work

I've parsed through a bunch of statements and this is how I believe used games and DRM will work on the XB1.

Please let me know if any statements have been made which contradict this.

  • Retail XB1 games come with an install disk and a "game code".
  • Retail XB1 games must be installed to HDD to play, after which the game disk isn't required.
  • XB1 games purchased online come with just the "game code"
  • An Internet connection is required to activate a "game code"
  • Once activated, the "game code" is then tied to your account.
  • You can download or install games for codes you own on a limited number of XB1's (probably 5)
  • Once installed, any other user on that console can play as long as the user account that owns the game code is "logged on"
  • Your user account can only be "logged on" to a limited number of consoles at a time (probably one or two)
  • Your friends or family members will have the choice to purchase their own "game code" for games installed on their system under your account (likely the games retail value)

What we don't know at this point is will "game codes" be transferable?

The key to how the used games market will function for the XB1 is based on how this transferability will work... which also happens to be what Microsoft have said nothing about.

For example, game codes could be non-transferable, or transferable with limitations or no limitations. They could even offer the capability to loan a game code to one of your Xbox Live friends for a limited amount of time.

This ability for "game codes" to follow your user account is at the core of the "periodic Internet checks" required by the XB1.

For example once you log in an activate a game on a new XB1, Microsoft will need to deactivate it on the old console. If the old console didn't perform periodic Internet DRM checks you could theoretically play the one "game code" on a number of different consoles.