Redbox costs two bucks a day, and only carries AAA titles. If you're the kind of guy that only plays CoD, great, that works for you. If you're like me and loved the living hell out of Deadlight and Mark of the Ninja and other indie/oddball titles and want everyone else to try them, or even would rather just play games for free instead of renting them, it kind of sucks that they killed that aspect of their plan.
My statement above wasn't about arguing which platform is best, or even arguing that Microsoft's E3 plan was overall a good thing. It was about the fact that MS was trying something new and interesting along with their broken DRM scheme, and killed the interesting part along with the horrible part.