I was reading how MS is preventing people from UK from getting us demos and likewise. I would recommend that you all use a proxy in the usa so you don't get restricted from getting new stuff on U.S. live. Unless you like waiting a month or more for it to trickle over the pond, it could be a good idea.
Mind you, i play my demos quite often! i have no money to spend on the complete versions. If gameplay is good, then repetition shouldn't be an issue, even in a demo!
It better be locked by isp region and not actualy system. I'll be pist if I can't get on NA servers because my 360 is from japan.
Hm... does it even matter? I remember trying to download a Japanese demo on my US system. It let me download it, but once I tried to play it it said something like "incompatible region."
Surely Microsoft will say, well tough if you wanted to download and play American games then you should have bought an American system. Conversely I would be pissed if I couldn't download from the Japanese servers on my Japanese system if I was in America or Europe...
The blocking is done by matching account "home" location and the "IP" location. If purchasing anything then the credit card location also has to match. The reason isn't Microsoft being an ass, but rather the content providors. For example, Microsoft only has the rights to distribute the TV shows and movies in the US. So if someone connects from Asia or Japan and downloads the content MS could be sued by the content owner for violating the license agreement. It won't actually affect gameplay. -hl718
This sounds the most likely. That is why Microsoft sells consoles in each region. If you import you have to expect these kinds of annoyances/inconveniences. It's part of what makes importers weather-hardened hardcore gaming gurus!