MS justifies Games on Demand prices

50 Reach tag covers "24/7 convenience".

Earlier this week Halo: Reach hit Xbox Live's Games on Demand service, priced at 49.99 nearly twice the current Amazon asking price.

Many of you pegged this as being rather steep, given that Microsoft is ostensibly saving money on packaging, labour and distribution costs with Games on Demand sales. So, what gives?

"No one retailer has the lowest pricing for every product, and our program is about giving people 24 x 7 convenience and selection when shopping for Xbox 360 games," explained a Microsoft spokesperson when Eurogamer asked the platform holder to explain its pricing strategy.

"We're incredibly excited about what Games on Demand means for digital distribution, and will continue to evaluate and evolve the service to meet market and consumer demands."

Halo: Reach's 49.99 price tag is unarguably very expensive, but it's worth noting that it's hardly the norm for the service.

As way of comparison, Red Dead Redemption is currently offered for 29.99, Super Street Fighter IV is 19.99, Bayonetta is 14.99, Kane & Lynch 2 is 17.99 and Modern Warfare 2 is 39.99.

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