Microsoft phasing out Microsoft Points in 2012

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Is Microsoft preparing for a huge shift in its approach to online transactions? If yesterday's rumours - as reported by Inside Mobile Apps – are to be believed, Microsoft Points are on their way out and all of Microsoft’s services including XBLA, Zune Marketplace, Games for Windows and Windows Phones, will be using region-specific currency by the end of the year.

Though not confirmed by Microsoft itself (the usual message of the company “not commenting on rumours or speculation” reared its notorious head once again), Inside Mobile Apps state that a source with 'knowledge of the company’s decision' has let slip the plans to them. It's reported that publishers are being told to plan future releases with the new system in mind and that any points that customers had left in their accounts at the time of the transition would be converted into their local currency. A source talking to Eurogamer this morning has confirmed the report, but also added that Microsoft Points belonging to 360 owners would still be usable as currency in the purchase of digital titles, which goes against some of Inside Mobile Apps' story.

Admittedly, paying in pounds and pence would certainly make things easier for consumers, who currently have to work out how sums like 530 Microsoft Points would translate into cash (although we actually like MSPs, since spending 1,200 of the things never feels quite as bad as spending £10). Regardless, the Microsoft Points system has always had its critics and many gamers take issue with being forced to buy points ‘in bulk’, therefore spending more real cash than they need to. The new method would hopefully bring Microsoft in-line with services such as the Android Market and iTunes, in which you only have to pay specifically for what you buy.

Alternatively, Microsoft could follow the lead of the Nintendo 3DS eShop, where consumers add real world money to their accounts but are still limited to blocks of £10 rather than being able to transfer whatever sum of money they would like. Obviously details are still up in the air at the moment and all of this may yet not even happen – it's still currently just a rumour, after all – but if and when Microsoft confirm these reports, we'll be here to keep you updated.