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Reasonable said:

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Now assuming PSN cost the same as Live then the situation evens out, but it doesn't.  The simple fact is that if I play COD4 online over 4 years (cause I really love it!) then the additional cost on a PS3 is $0.  On a 360 the additional cost is around $160.  That's not tenuous, now is it?

Of course, these days, even $160 dollars over 4 years probably seems like a lot to some.

Final point, the BR to online argument I didn't get.  They have nothing in common IMHO.  If I want free online for MP gaming and to watch BR movies those are two unrelated desires except I can do both on a PS3.  Just because I don't want to pay online doesn't mean its strange I'll buy a BR movie.  I might as well argue if you're going to use a 360 or a PS3 you're strange for playing them on an SD TV (as many apparently do).

 

The Blu-ray to online argument was designed to point out that some people will quibble over an extra $40-50 per year cost for unlimited online play on XBoxLive (which is for all relevant 360 games, not just one), but those same individuals will not balk at spending $25-$35 to re-buy movies on Blu-ray because they look and sound better than an already good copy on DVD.  Assuming those individuals get good online deals on Blu-ray movies ($20 per movie) and buy 5 over the course of a year, then they have spend $100 on new copies of something they already have.

I'm not talking about the people who insist on buying only the Blu-ray movies they don't currently own on DVD... I'm refering to those who are willing to shell out the money to replace perfectly good movies for "better" versions.  I find the argument that those people will not "waste" $40 on online play out of "principle" to be a tenuous one.

Yes, there are those who will not replace older movies with Blu-ray movies (I am one of them), just as there are people who will walk back to the store after realizing they have received too much in change (I've done that as well).  I just believe that some people who argue that they would never pay for XBoxLive online as a matter of principle are actually saying that simply as a point of argument.  When the PS3 came out, I found the concept of paying $600 for a gaming console to be rediculous... it's primarily a game console after all, but I never claimed that I wouldn't buy one for that price as a matter of principle.

Anyway, I believe I understand the point you're trying to make, I just don't think a lot of people are as reasonable as you when it comes to this specific argument.  Then again, you *are* "reasonable".