Eidos co-founder Ian Livingston spilled the beans that Xbox 720 / Durango will require always-on internet connection and will block pre-owned games.
"Broadband speed globally isn’t at a level that justifies digital-only,” he told MCV India. “So they’ve gone halfway [...] With the next Xbox, you supposedly have to have an internet connection, and the discs are watermarked, whereby once played on one console it won’t play on another. So I think the generation after that will be digital-only.”
Before its official announcement, rumors had it that PlayStation 4 won’t run used games, but Sony made sure to dismiss that.