After the update is rolled out games and digital downloads, instead of being priced in MS Points, will be priced in actual currency and that too in local currency depending upon the location. Those with MS Points need not worry as they will be converted to real money. Point cards will still be usable, until further noticed, and the money equivalent to the points on the cards in local currency will be added into your account.

“You will see item prices expressed in local currency; no need to calculate what an item costs! You will still be able to directly purchase content from Xbox stores using any current form of payment available in your region, including credit cards”, noted Microsoft.

Microsoft already abandoned the points payment system in Windows 8 last year. At the time we had noted that a change in Windows 8 means that Microsoft was thinking of getting rid of the points system completely.

A question did come up in our mind as to the fate of those hard earned Points through Xbox Live rewards and Microsoft has an answer for that as well. “These will remain in your Xbox Live account and transition to local currency with the rest of your Microsoft Points.”