Very simple. Keep the 24 hour restrictions as-is, but allow transition to an offline mode after notifying the mothership. This disallows all the family sharing features. Games installed using a physical disk would require the disk to be present, downloaded games are unaffected (since you can't sell them without connecting to xbox live.) This takes care of the submarine scenario. When you're back online, check for the disk again before allowing disk-less play. Make sure the offline transition can be done through smartglass, and you handle the hurricane/somebody-cut-the-fiber scenario as well.
Games were meant to be installable on multiple consoles, so if they wanted reselling or giving away a game to completely disassociate the license from the seller's/giver's account, every console with that game would need to be kept online to verify this. So if there were an offline mode that disabled license-transfer features, it would have to apply as long as even one console were in this mode. This means that it would be possible for someone to put themselves into a state where they'd be permanently prevented from reselling or giving games because they don't have physical access to some console that's been put in offline mode.
There are of course further workarounds/mitigations for this problem, such as putting a (100 days?) time limit on offline mode, but they make the system even more complicated.
> This means that it would be possible for someone to put themselves into a state where they'd be permanently prevented from reselling or giving games because they don't have physical access to some console that's been put in offline mode.
This isn't really too big of a problem. Just require users to phone in and request a license transfer if they lose a console. Limit the number of times that a customer can "lose" their console without an investigation.
+1 I guess this is a very good solution. It merges the best of two worlds. However, with the mixing of digital and physical world, I wonder how many fraudsters will sell their games digitally and then try to sell the disk on ebay? Or vice versa.
hmm, I wasn't aware you could sell your physical disks on the xbox store... that just seems like a recipe for disaster. It seems like such a corner case, though, that I think they could get away with only allowing downloaded games to be resold online. Physical disks would have to be resold through Gamestop or similar, which would actually act as an incentive to purchase the digital version!
Any holes in this approach?