The trouble is with mandatory installs on the PS3 is that it doesn't actually install the whole game...They are just used as a shortcut for lazy developers (Can't blaim them)...

Coming from a PC background, installs are fantastic as far as I'm concerned...

Back in the old days when you had the option of how much of a game to install...I installed EVERYTHING for the games I liked a lot...

The point is, it was up to me. That is why Microsofts install option is better. You can play it from the disc (which works fine) or you can install your favourite games for a nice boost for your old titles in loading.

This is completely different to a mandatory install.

Oh?  Hmm.  I wonder.  It's been my impression that MS will be scrapping the arcade SKU with their introduction of the 60GB "starter pack".  I wonder if required installs could possibly be in the future.  I hope not.

Yep, in most cases I will. Good thing it is entirely optional.

Try again.

Hard drives read far faster than optical media.

In the case of games like Mass Effect, I bet it kills the annoying texture popping in the game.

That alone would make me replay the game and maybe even thoroughly enjoy it even!

The benefits of installation vs. normal playing on the X360:

1. Load Times. Since the data is being loaded from the hard drive versus DVD, load times will be much, MUCH faster. The PS3 installs are the same way (shorter load times), but since 100% of the data is loaded from the HDD, it's even faster than that since HDD speeds are much faster than DVD, or BR-DVD.
2. Frame Rates. Similar to load times, it should help frame rates for certain games: if a game drops in quality because there is too much data being accessed on the disc at once, it will increase general frame rates for games that aren't locked. I can't confirm this, but I think this should happen. So takt this with a grain of salt.
3. Reliability. What's the biggest issue with the Xbox 360? RRoD? DVD Drive Failures? Loading games onto your HDD reduces problems with both. Heat normally generated from your DVD drive (which is very, very close to the RROD-prone GPU) is not there. And your system stresses less without that DVD drive being used. So less heat generation = better.
4. Noise. Some argue that the Xbox 360 is a very loud console. Personally, I've never had an issue with it. Nevertheless, noise is caused bya combination of the DVD drive, and internal fans. With no DVD running, and the system being cooler overall, there will be much less noise.
5. Disc Swapping. A very minor benefit, IMO, but if your playing a multi-disc game, you can install all DVDs onto your system, and not disc swap on that given game (most likely an RPG). But of course, add this bonus to with benefit #1 and #2, and it could be pretty important for you.

I think that's about it for possible benefits. Again, the primary advantage is that you get a better advantage than the PS3 mandatory installations (load times and frame rate benefits) plus the benefits of being disc-less...And always being optional.

My worry, however, is that developers could abuse this like they have with PS3 owners and force mandatory installs. On the other hand, it could be the begining of Microsoft distributing their games digitally.

Again, this is beyond good news for SOME games in CERTAIN circumstances. I just can't see needing to install short games that generally work very well that don't strain an Xbox 360 due to DVD reading. But on certain games like Mass Effect, Oblivion, or other RPGs where the disc reading is strenuous, or games that have lots of loading time (GTAIV), it could be a huge benefit to install the whole game.

I have a 20GB HDD, and I plan on using it once in awhile for games. I don't see why this is bad for 20GB or Arcade owners. We've always known that a bigger storage solution is better - look at DLC for everything. My Shivering Isles expansion is HUGE, and so are my movies and demos. Arcade owners aren't getting gimped anymore, because they need a HDD for everything else already.

NAH the real issue is that BS crap of BRD HDDVD DVD or any digital disc support are still mandatory..... a big box with one terraoctet and high speed connection should be the only option by now..... you have a little flash disck (100 G0 lol) go to the store or online.... buy your movies music video games plug it to your console UL it on the HDD and you are good to go...

I can tell you are not a dev.

I don't care if your the most intelligent, hard working, dedicated developer in the world, you will never get data off a the BD or DVD as fast as you will a HD.

If I was a dev, and I said "Hey, I can add this really cool feature to the game, if I could stream data at this rate", and the only was for anyone to achieve that rate, is from the HD, the only way you could add that effect, is with an install.

Lazy has nothing to do with it.

i will take a Better game with a mandatory install over less of a game, every time.

Did I said already I only have place for one game on my HD?

Agreed, my take:

One problem with installs is that there still are people floating about who have 20gb PS3s, too many compulsary installs and it'll ruin their day. Its not fair if Microsoft allowed compulsary installs and its almost as unfair if Sony allows too many 4+GB installs.

One problem AFAIK, Sony didn't allow for caching space on the PS3 HDD so they may cause installs to be required as they can't guarentee a certain quantity of disk space. Caching is the reason why a 20gb Pro has 14gb of free space.

Lastly, the transfer speed is greater on the DL DVD drive for the Xbox360 (Whats the read speed for Dual layer Blu ray, 2nd layer?) So therefore caching/installing to a harddrive isn't as mandatory.