I'm renting Ni no Kuni from GameFly now (great game!), and I could buy from them for $38 with the $5 dicount coupon and 10% discount I've got. Kinda ridiculous how cheap they let you buy games for.
Yes, it is. For example, I just got X Com and opted to keep it after a day of play, and it cost me $29. Granted there were sales over the holidays when it got that low, but it's much more convenient to do it on my terms rather than the publisher's. My "keep it" percentage with them is also very high... not all who rent games are cheapskates that never support the developers. Rather, I consider them savvy shoppers in a very consumer unfriendly environment.
Since publishers are insistent on forcing me to buy $60 games with multiplayer components I don't want or need, I consider renting perfectly fair. If the campaign is indeed worthy of a purchase, I'll buy it, if it's an afterthought to the online, then it goes back. Perhaps before doing crap like banning used games, they should look into WHY the used game market is as big as it is, and WHY people are increasingly renting them. They could start by separating the multiplayer component out and selling it separately. That way, people who don't care about the campaign get what they want at a reduced rate, and campaign-centric folks like myself don't have to waste money on online modes they'll never use.
There are so many other solutions than to do what Microsoft is rumored to be doing, and I sincerely hope they fail if they try. Take a look at the used car market, for example. Instead of whinging and carrying on about used car sales eating into new sales, car makers are increasing the quality of the cars so PEOPLE DON'T WANT TO TRADE THEM TO BEGIN WITH. Take the Toyota Tacoma for example. You can barely find one used, and that's if you try REALLY hard. People see that value and they hang on to them. Maybe *gasp* game makers could try the same thing.