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I use both Live and PSN, and the difference isn't "a little."

Online games on XBox Live are far far better than on PSN. There is a larger user base, the connections are better, games are easier to play online, community is much more cohesive and easy to navigate/manage, integration with Zune marketplace, Netflix...

50$, is damn pocket change spread over a year.  A buck a week? I find that change scattered throughout my house on a weekly basis.

Lesson: You will most likely, get more for paying. If you're honestly going to tell me that PSN and Live are the same, I will say lay of the damn crack.