I don't get this, the sheer lack of logic some people are displaying here.
MS are out to make money and you need to bear that in mind with every decision, it's all be round tabled, it's all been thought through. People need to stop guessing at what they think will be the case and go with worst case scenario, because unsurprisingly, this is what you're going to end up with, not right away, but it'll scope creep into it, they will push it as hard and as far as you let them.
Jaffe's talking about "no used games for the first 3 months" I don't know how many people have actually paid attention to publishers and such in the past, but in case you didn't notice here's how things go:
"We'll try to change something in a small way, then once you've accepted that, we'll make it bigger"
We saw DLC/XBLA games at 400 points, then 800 points, then 1200 and so on. Now the content in those games increased I'll grant you but I bet the average price compared to dev cost has gone up, a lot.
So that 3 months, will become 6, then some publisher will come along and decide on 12, and then "oh we don't allow used games", but hey you took it before, you can deal with it now, right?
Luke Smith said it best years ago, it's a science experiment on your wallet.
And as for the "I'll just add 10 people as a family" There's been "family" on Xbox Live for years with a few restrictions on the account, granted it was for the live gold family accounts which have since gone away, but there were lots of restrictions, not least of which is one credit card tied to family and only the primary account can use it. You didn't spot some magic loophole, I guarantee you they'll have thought of it and you won't be getting games for £6 per person.
It's a business, they're out to take your money for as little effort as they can, the only question is, are you going to hand it over?