Pre-download and play while downloading the game working together could be a solution. Publishers can let you start downloading the game 1 or 2 weeks before release date and it can only be played on that date, the game would be downloaded by parts, if you download the first part you can start playing while the next parts are downloading (exactly like the PS4 will do). I believe the X1 can do downloads while in sleep mode so you don't have to waste electricity.

I actually had 1.5MB before and is around 700MB per hour at full download speed, I used to leave my PS3 downloading before I went to bed, it was a waste of electricity but new consoles work in sleep mode.

PS3 and Xbox 360 are also digital consoles, we are talking digital ONLY console and if they want to do that they should offer an incentive. Steam model pretty much but for consoles. Right now they are half-assing it and creating a ton of confusion.

Blu Ray can be sold separately or in a different SKU

but then you couldn't watch bluray movies on the TV box.

250GB may not sound too bad but once you start splitting that up between games, streaming videos and music, downloading other files and programs, and just general internet usage it goes fast.

Two years ago I had a nice computer for about a couple of weeks and I bought a bunch of games on Steam and ended up exceeding the limit two months in a row.

@Banana: 20GB?! o_0 There's not much of anythng you can do with that.

People may have internet but not everyone has internet to be fully downloading huge games especially if you're talking about the mass market, retailers will also stand to lose much more money as XBO game sales would be money they never see it's one of the reasons PSPgo was never seen in shops.

Read the whole OP

I think this is the key to the confusion happening all over the internet about these consoles... We don't know about PS4 yet, but X1 is a digital ONLY console. This is why every game you purchase has DRM (digital rights management), including retail. 

I think everyone is thinking that because you are buying a game on a disk in the store, which is a physical thing, it can't be digital. This is proven to be wrong... Look no further than Lady Gaga albums at your Best Buy that are sold as a code on an iTunes gift card. When you buy that album, you are no longer buying Lady Gaga's music. You are buying the digital rights to download and enjoy that music from iTunes.

The game disk you will see for sale in store is no different. When you buy a game for Xbox 1, you are buying the digital right to enjoy that game on your Xbox One, not the actual game itself.

I know it sounds scary, but its the direction technology and the world is moving towards...  I'm actually curious to read the fine print for this that Microsoft lawyers are cooking up. It will appear when you turn on your Xbox One. The apple iTunes fineprint is pretty crazy. For example, when you pass on, your music movies and apps that you have purchased digitally on iTunes belong back to Apple.

Well they did say every game will be digital same day as release

That makes a lot of sense, you are right X1 is a digital only console they should have made it as clear as your post. My only complaint now is that MS should give something in return for being digital only kinda like steam does but maybe they will in the future.

I think that next gen, just like always, people need to be smart and see what works for them and where they get the best value. Its no longer just about what games do I want to play.

I have a feeling that we really won't know what each console is offering in full until they both launch. MS may as well offer cheaper pricing or somesort of a rental program in the future. Or they may not...With this digital distribution they may also offer monthly subscription gaming service. 29.99 per month...all you can play kind of thing. i'd be all over that if it becomes a reality.