Just because you can do something doesn't mean you should. Watch the interviews where they play DRM ran games. A great example is Forza5 (since it's the only real game showcased). Elements of the game disappear during it's play. Trees suddenly appear that weren't there before and then disappear and reappear. Textures Clip in and out as do shadows. And this is before the console even reaches the E3 public!! Not only is it very distracting, it forces requirements on ISPs. Cloud is meant to store shared files on servers to be downloaded later. Not to be broadcasted to millions of people/players all at once. These files that are being shared in games (tree, code, etc) ARE NOT SMALL FILES by any means. ISPs are already struggling with internet speed demands. So much so that their internet caps for users have decreased in size at a record rate. Wireless providers (Verizon, Sprint, Suddenlink, etc) are being sued because they are capping their customers download/upload use. Why are they doing that? Because files and programs are consistently being shared and updated in the background almost every hour on the hour. And almost never informing the customer/client of their software that they are doing it. This forces internet providers to put a Cap or slow the connection to allow other customers equal use of the internet, or simply increase their customers' monthly bill to compensate.

If games (like Forza or Halo) are forcing consistent updates/uploads/downloads in the background (or not) then it's going to result in higher internet bills and less buyers. We already have players lagging when they have great connections. I have excellent connection here I live and yet I've experienced lag as well. That's just going to increase with more files being shared on my network.

And what about the security of Cloud Processing? Sure, MS has excellent encryption for their servers. But they to have been hacked. Not on the level of Sony's but a hack is a hack nevertheless. The closer we get to strictly wireless internet and the more we share over the web, the easier it gets for Hackers to steal information. Even tough it's still pretty young, Cloud encryption has proven it anything but secure. So who's to say that a hacker won't piggyback on a game 's cloud file and steal my personal information from my XBone? Don't tell me it's not possible.

: Microsoft is setting up a system of 100% digital downloads. The disc-based
: media is a compromised inclusion that function identically to digital
: downloads. Once you install the disc, you can throw it away. I can't
: really think of any system that will allow them to do just that which
: doesn't include some kind of DRM.

So am I to assume you've NEVER had a file get corrupted or deleted from your computer?
100% digital download is a terrible idea wrapped in a bow and covered in sugar. It looks nice and taste sweet in our mouths, but in the end it's still a terd. Files get currupted. We see this in Digital Downloads today. Heck I can't even play most of my Arcade games (that I paid for!!!) simply because I'm not on my original RROD console! I'm signed into my account, but because I'm offline, I can't play them?! That Is Stupid!! That's like saying I can buy a car but ti run it I have to place new tires on it first each day! And that is EXACTLY what Microsoft is doing with forced DRM. Will my car run better with new tires each day? Yes. Will it cost me more more then I can afford? Yes. Is it convenient? No. Does it need it? No. THEN WHY SHOULD I BUY THAT CARE?!

"Because you can have Netflix, ESPN, Facebook, etc on the new one."
I can do that on my TV, my computer, my DVDplayer, My Wii, my PS3, PS4, my X360, etc.

"True, bit not at the same time."
Funny, my TV is running Netflix on one input while running my game on another. Oh and the 3rd input shows my local channels.

But you have to run three hardwares at once to do that.
I'm not using internet nor satellite for local channels. And my TV has a internal input/UI for Netflix. So I'm still only running my TV and console. Or I could do it all on my computer.

The graphics of your console don't look as crisp and detailed as on the new one.
True, but I don't play Pac-Man for it's graphic details. I play it because the game is fun. If I don't buy your console, then I'll never know if I'm missing anything and thus will not feel limited on my current one.

But your old console can't record and share your game plays.
I don't want to record and share my game plays. And if I did, then I'll spend $300 on a computer that could do it for me. I'll save money and have more control over the sharing and editing of my videos.

On the new console you can voice command everything
See this? It's called a finger. It and the two on either side of it can do the exact same thing via a remote or game controller. And it all works OFFLINE.

Um...
That's what I thought. You NEED me. Not the other way around. So keep your new fancy car and it's new tire requirement. If you need me, I'll be across the street buying their car because it's cheaper and doesn't force new tires each day for it to work.

: If there was no check-in, you could purchase one Halo 5 disc and share it
: with 100 friends. They each install the game and play it together, all at
: the same time. Making a copy of a game would be as easy as giving it to a
: friend.

These are Consoles we're talking about. Not computers where they are commonly hacked and copied. The ability to willingly share games is what made consoles so popular in the first place. Outside of Halo Reach and Halo4, I (personally) have NEVER bought a game without trying it first. Be it via a game disc demo, a DLC demo, or borrowing it from a friend. every game I've tried and enjoyed, I've eventually bought. Most often then not, I've bought them used because I couldn't afford a new one at twice the price.

PC/Mac/Linux gamers tend to be about to afford new games a LOT more often the console gamers. But they are not FORCED to be online to play their games. Only to register it or to play online. But when offline, their games STILL WORK whether they have a internet connection or not. If they want to own a new game and can't afford it, they can't borrow games from friends. However they tend to not need to either. Especially if they only want to play offline. Instead they download keygens. hacks, and cracks in order to play their wanted games. All of which will work via network. Disabling a computer game's internet search/requirement is surprisingly simple to do. It's also easy to hop the code around if you want to play online. And if you are caught, then it takes a while for them to ban your IP and/or account. After that you can change you IP and create a new account and start playing until you are caught again.

The online requirement and lack of used games support from MS is only going to result in more hacking and more issues for them and their clients. Not to mention the hit in their profits.

: Microsoft sees the most potential in an all-digital marketplace. For that to
: exist you need some connectivity requirement. It frees up developers to
: make games knowing that 100% of the players will be connected to the
: internet, too.

It'll only free up a small portion of their development time. And that's the MM aspect. Developers love games and love their customers (well most do). That is their focus. They want to build games that players will enjoy all the time. Not just enjoy if they have internet. Do you even play games? Developers OFTEN distribute DLC via Wal-Mart, EBgames, etc for their offline computer customers. Heck, Console game developers do the same thing. Just not as much/often. This idea that the only focus on the online aspect of their games/creations is just ridiculous to say the least. if anything, it gives them more work because now they have to make and distribute physical DLC copies for their other customers. This results in less time and less proceeds because they still have to pay for the publishing, shipping, and dics of the physical DLC.

: I guess that could be a concern. I'm not going to let the possibility that I
: might not be able to play Halo 5 in 2030 stop me from enjoying it today,
: though.

So you care about the game experience NOW more then later? Nothing wrong with that. From this day forth, you are obligated to NEVER touch a used game ever again. Even if you already own/played it. I don't care how much fun the game is, where how long it's been in your family, nor what how much goo your friends/family said it was. You only care about New Games.

Why stop there? from this day on, you are to NEVER play with, touch, or use anything that has already been played with, touched, or used again. You're not even allowed to look at anything used again. That includes your eyelids for they are used as well. Learn to hover around and go ahead and pluck out your eyes. No need to eat for that food is not new either. Need to poop or pee? Too bad. Hold it in because your private parts have been used already. Grow NEW ones first. Just remember that you have to grow new ones each time you need to use the restroom. Oh and each rest room needs to be new as well.

I was exaggerating there of course but it was to prove a point. New is not always better. FiftyFifteen years from now NO ONE will be able to play Halo5 or any other XBone game because they will require a internet connect and dedicated servers for those games. That means new developers will not be able to go back and experience what made the 8th generation of games so much fun/great.
Thus resulting in repeated ideas and lack luster gameplay in the future.

: I'm not really familiar with this. I know Microsoft has been pretty kind to
: indie developers with XBLA over the past 8 years. I'm not knowledgeable
: about their plans with the One in this regard, though.

Ms will continue to support Indie games. Just nowhere near as much as they have in the past. They are now forcing Indie developers to use MS or other BIG NAME companies to publish their games for distribution. This means goodbye to XBL arcade as we know it. It also means saying goodbye to awesome new games and ideas. The purpose of Indie games is to allow creativity and equal share of success. But the moment you force not only internet connectivity, you take away that creativity and freedom. The force of MS/Activision/Etc publishing also results in less creative games and original games. It also completely removes the "share of equal-ness" in the industry. Remember those tires you have to buy each day for your new car? Well, now you must only buy them from this particular company. I know it may be cheaper to get the tires somewhere else, but that doesn't matter. If you want the car to run, then you must by them from this company. Oh yeah. You must only drive on this road to reach your destination. It'll take MUCH longer for you to get to your goal and cost you more, but it's a requirement. For if you plain your own course, you will be either fined or your car/game will not work. We must have complete control of what YOU create and what YOU do with it at all times.