Are Microsoft Points being phased out?

A recent change to Windows 8 suggests that Microsoft may be preparing to phase out its Points payment system.

The Verge reports that Microsoft Points are no longer the default payment system in Windows 8, with real money payments replacing them. Up until this point the Windows 8 beta has used MSP.

Microsoft Points were once a bone of contention for Xbox 360 owners. Unlike rival systems like PSN that use a real-money digital wallet to fund purchases, Xbox Live requires users to buy bundles of points that can then be redeemed against purchases.

These proved unpopular with some not only because they mask the real cost of any purchase, but also because the increments of Points purchases available would inevitably lead to gamers spending more to amass enough Points for a purchase than they would need to were they to buy it direct.

Microsoft Points remain as one of the payment options in Windows 8.

It’s not clear whether the change is indicative of a strategy alteration or if the change is also intended to be rolled out on Xbox Live.