As any Australian XBLA fan could tell you, we pay $16.50 AU for 1000 Microsoft Points. This means we're paying about $1.32 AU for 80 MSP, which was designed to equate to $1 US. This discrepancy reflects the exchange rate of 2005, which was around $0.75 AU to the US dollar, when the Xbox 360 was launched.
Since then, we have paid more for the same content as the exchange rate fluctuated. The argument could be made that this is to reflect server costs and traffic, but that seems unlikely. I believe that no system was put in place to update the price because it would be too difficult to achieve parity between store-sold MSP cards, and the digital version. Alright, fine. But now there is the somewhat bizarre situation of being able to purchase MSP points online at a vastly reduced rate.
Australia's dollar has, over the past few years, become more competitive with the US. It is no longer 2005, and because of a lack of forward thinking on Microsoft's part, the consumer is being abused.
Now PayPal is being offered as a means to acquire MSP. I propose that we be allowed to buy them at the US price, using US dollars. Let PayPal do the conversion, and we'll pay the small fee instead of a 33% price hike. I have no doubt that this would be possible, and that it would win support from Australian Xbox owners.
The difference between paying $15 for Dungeons and Dragons: Daggerdale and paying $20 is likely enough to prevent me from purchasing it.
If any representative of Microsoft has taken the time to read this, thank you, and I would greatly appreciate a reply.