http://www.destructoid.co...tent-sunshine-30592.phtmlWhen a publisher has goods it wants to put up for sale, those prices must first be submitted to Microsoft. As part of an agreement with the company, publishers have signed a document that hands over final say to Microsoft regarding Market place pricing. From here, Microsoft takes a look at the marktet and prices items to maintain a balance among items of similiar value.
Greenburg [Xbox Live/Xbox 360 group product manager] denied knowledge of any motive to restrict free content, but admitted that the company does indeed adjust download prices
Bizarre Creations says they wanted Geometry Wars: Retro Evolved to be FREE over Xbox Live, but Microsoft wouldn't let them do this. They ultimately reached a compromise and charged the lowest amount Microsoft will allow, 400 points ($5).
Back in November Pat Wilson, developer at Garage Games, announced that their team had just finished making a FREE downloadable update (that featured bug fixes, 11 new multiplayer maps, and new gametypes) and that it was in Microsoft’s hands for certification. Weeks later in his blog, Pat explained to fans why the free content will NEVER be made available. (The site he blogged at, angrydev.com, is no more, but you can still find the info he posted on numerous sites) On the record, Garage Games says "...we are unable to come to an agreement with our publisher for the Marble Blast Ultra update." Seeing as Garage Games is both the publisher AND developer of Marble Blast Ultra, you need to read between the lines. The gist of Pat’s blog says Microsoft won’t allow them to release free content for their game, but he doesn’t go into what their motivation might be
And finally...
But now this policy is affecting Gears of War. Multiple sources, including today’s 1UP Yours podcast (1 hour 12 minutes in), support a rumor that Microsoft and Epic are currently fighting over the new Gears of War content. The content is basically finished, they are just fighting over pricing. Epic want to make all the new weapons and maps 100% FREE. Epic doesn’t want to fragment their online community, and frankly we’ve come to expect these gestures of goodwill from Epic. Microsoft, as you might expect, is not letting Epic do this. Mark Rein, as you can imagine, is PISSED about this.
I'm not sure if this is true, but it would not surprise me one bit if it was true. That would explain the cost for such insignificant content like horse armor in Oblivion, or video tips for Madden 07.