The used game thing is tricky...An awesome game like the most recent Tomb Raider LOST money despite selling 3.4 mill copies in the first 3 weeks. That is considered a huge success for the gaming industry.
If you can't make money selling 3.4 million copies of a game you are doing something seriously wrong.
Videogaming is going the way of Hollywood cinema. Millions of dollars invested, millions of dollars have to be spent in advertising and millions of copies need to be sold just to cover costs. This means you have to produce crappy games that appeal to a mass audience just to even hope to sell enough copies to break even.
If publishers require each console to have an individual license for each game, they could perhaps lower prices of games, and price more competitively, but their backs are against the wall. To produce a game with the quality of Tomb Raider, you must put considerable resources into it and these big budget, big studio releases we all love so much and they will disappear because they are almost impossible to make money on unless you are Call of Duty. Otherwise we in general will see a great decline in the quality of games and the market will veer more toward indie developers.
I don't think this is a good thing. And do you really think publishers are going to lower the price just because they can? They have removed the competition, they don't need to sell them cheap anymore because there is no other option. You can't buy them second hand, and I'd be betting that you'll only be able to purchase games and activation codes through Xbox Live, or through authorized re-sellers (at least in time) where prices can be fixed and maintained by the publisher.
Big-Budget games need to die a slow and painful death. There has been little or no innovation in mainstream gaming for years for exactly the reasons you are talking about, they need to invest millions of dollars, pay hundreds of staff and advertise the **** out of games so they can hope to sell enough copies to cover their costs, but it's a vicious cycle. They can't try anything new, it might not work and could cost them millions of dollars.
So the majority of the market is stuck buying the same game every year with some new pictures or even new "features", but nothing is actually ever new. It's too risky because there are too many millions at stake.
And in 8 or 10 years when Microsoft shut off the Xbox One servers? There's a whole generation of kids who can't go back and play their favourite old games on their old consoles the way we can, once the back-end services are gone it's essentially a glorified plastic box. You already can't play original Xbox games online, but imagine if you couldn't play them at all. Heck, the console wouldn't even work!