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Of course, but if they don't ever need to be online at all, you can't guarantee cool stuff like Forza 5's driver dynamic will happen, for example. If you can't guarantee it, why even waste time, effort and disk space developing it?
: which you could either deal with by making sure the game works offline, or
: else require a constant online connection regardless of Microsoft's policies
: (which developers can still do anyway).
Yes, but now the developers will have to be the 'bad guys', while in the other scheme, MS was taking full responsibility, both blame-wise and tech-wise.