Microsoft has made news not only through its rather extensive E3 presentation but also through a luncheon that was attended by Marc Whitten, who is the general manager of the Xbox Live service. One of the big reveals is that Microsoft plans to implement a service called “Games On Demand,” set to allow console users to get full videogames downloaded to the hard drive of the Xbox 360 console. The new service should be launched in August this year and will probably be rolled out by region.

Marc Whitten has said that such a service is a normal development, given the way Xbox Live has evolved to offer more options to the console user. Initially, Games On Demand will offer 30 videogames, amongst them titles like Mass Effect, BioShock, Assassin's Creed, Crackdown, Oblivion and Call of Duty 2. Microsoft will probably refrain from putting games that are still doing well at retail on Games On Demand but gamers can look forward to seeing older hits ready to be downloaded.

Whitten has stated that “We've been talking closely with our retail partners. This isn't some zero-sum game where there is a winner or loser. I personally believe that going into a store and seeing that back of the box of the game, talking about the game - that's not going away.”

Apparently, Microsoft is ready to make a big change when it comes to payment options, as Whitten has said that direct credit card purchases would be available, eschewing the Microsoft Points system that the company has enforced until now.

When it comes to Xbox Live, avatars are also set to get more love from the Redmond-based company, with better support and more accessories. On the social side, the service should incorporate community applications like last.fm, Twitter and Facebook, in an effort to make console owners spend even less time in front of their PC.