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I mean, sure, a lot of gamers aren't ever going to use this, but a lot of gamers already swear off GameStop to begin with. Microsoft has also been making cards with codes that buy specific Arcade games for a while now, if that's what the ones I see at Target are (instead of being branded points cards).
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You're right, I remember buying a card for Uno back when I first got my 360. That's an entire game rather than just DLC though, so a better example are the Fallout 3 expansions. I'd be curious to see how many people actually buy those in stores when they aren't on sale, since the only market is people either without credit cards or no internet.
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Ryuu, tax hasn't yet killed buying the points (I don't believe the tax is excluded when buying them on the console), so I doubt it'd affect this.
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From what I can tell when I've bought points on Live there is no tax. It probably varies depending on what state/country you live in, though. The downside is that buying them straight from your console means you have to buy the chunks of 500, so you're stuck with an odd number.
There's nowhere I can't reach.