for real? I don't honestly even know how to respond to this because I have no clue what that has to do with my point.
Well, the point is that whether or not something is wrong is not connected to measuring the harm that it causes.
I believe this is wrong, it should be fixed, and it's scummy that they're doing this on a somewhat regular basis.
I also recognize that we're referring to a tiny, vanishingly small program that's about to be shut down and has been understaffed for three or four years now and whose target audience is (largely) hobbyist developers rather than people trying to make a career of it--so the evocations of "people won't make rent" is a bit of a mismatch with the general audience of the program, even though there are a few cases for whom that's true. In fact that's the essential tension here. There's a program and it's being managed for the bulk of its target audience, which are basically tinkerers who don't care much about the commercial side, but it's also attracted a variety of professionals doing top tier work and who need ongoing income from it. Even when MS was paying the bills, there were complaints from this tier of devs because their work wasn't being promoted effectively. So it's a long-simmering tension. This isn't ID@XBOX, anything on Xbox One, or XBLA. This is referring to XBLIG.
Again, it's still wrong, it should still be fixed, it's not right, it's not defensible. But defining the parameters of the harm is also important for approaching issues lucidly. In the same way, if Valve didn't pay TF2 item makers for a few months, that would be wrong, and something that should be solved, but it would also hardly make sense to respond with "WOW STEAM IS THE PRIMARY LIVELIHOOD FOR MOST OF THE GAME INDUSTRY AND VALVE ARE THIEVES". That doesn't mean standing against the people who deserve to be paid. It just means that one's sensitivity to wrong is in part based on the magnitude of the harm caused by the wrong.
One moral of the story here is that contracts that are insignificant to one partner in the contract and extremely important to the other partner in the contract are the most likely ones to have harms resulting from delivery issues. Clearly it's not right to treat smaller partners badly at all, of course, and I don't think anyone is going to disagree.
Setting aside this particular issue, I think in general MS has mismanaged their relationship with indies a number of times over the years. That's true for XBLIG, which has always been an also-ran for them, and their more professional-oriented programs. If any XBLIG devs can feasibly do so, they should be at least working to supplement their income with mobile and PC offerings (and maybe even PS Minis if that's possible at this point?) And then for the sort of more professional XBLIG devs who can qualify for ID@XBOX or Wii U or PS4 development, to look into that seriously if they plan on doing this stuff professionally rather than as a hobby. If not for their own sake, then at least so their games can still be played in a few years. I know the Zeboyd guys have already done this.
I hope MS fixes this soon and if they intend to end the program, they should just end it rather than dicking people around for no reason.