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Well I've been saying it for awhile you get what you pay for when it comes with these online services.  I had no issue paying $50 a year for Xlive and I will have no issue paying $60 a year for Xlive.  Seriously, the value I get out of it personally, I think I should probably be paying more and I'm glad I still feel like I'm getting a good deal.  Having the other online services, don't know if I'd make the same claim for them though haha but just my imo.

But the real victor in all of this here is MS.  They already have built up a large online base and getting large revenues out of this.  Now they are just playing catch up with inflation to get even more of that cash cow.  I can only assume that competition is looking at them and thinking, "Man why didn't I do that first".  As a big fan of Xlive and a member for 5 and a half years now, I hope this helps it to continue to expand and get better.