If you already had LIVE, then you wouldn't have a need to buy them on a disc. Therefore, this is a great deal for someone who doesn't have access to these games otherwise for ANY price. I actually applaud Microsoft for doing something right for a change.
well how would you even get it on your console if you didnt have internet access? that is a non-issue. also, you can use whatever you download on the console you download it to even if you arent logged in, and you can use it on any other console if you are logged in. sure, that requires that you have a internet connection but how are you getting it onto another console if you dont have a connection anyway? so you *can* run in on whatever hardware you want, provided you can prove its yours.