Rumors continue to swirl that the next iteration of Xbox will lock out used games entirely and require a constant Internet connection From HotHardware:

Sony's next-generation PS4 unveil is just two weeks away, which means leaks concerning both it and Microsoft's next-generation Xbox Durango (sometimes referred to as the Xbox 720), are at an all-time high as well. Rumors continue to swirl that the next iteration of Xbox will lock out used games entirely and require a constant Internet connection. New games would come with a one-time activation code to play. Use the code, and the game is locked to the particular console or Xbox Live account it's loaded on. Physical games will still be sold (the Durango reportedly supports 50GB Blu-ray Discs), but the used game market? Kiboshed.

If this is true, it's an ugly move on Microsoft's part. Not only does it annihilate the right of first sale, it'll eviscerate any game store or business that depends on video game rentals for revenue.

 Xbox 720 (Durango) Could Require Always-On Connection, Lock Out Used Games