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In February 2013, Yusuf Mehdi, corporate vice president of Microsoft's Interactive Entertainment Business, shared that Xbox Live members now number 46 million, up 15 percent from a year ago, during the Dive into Media conference in Southern California.In June 2014, Microsoft retracted the Xbox Live Gold requirements to download streaming media apps (including Netflix, Hulu, You Tube, Internet Explorer, Skype, and others), though various rental or subscription fees may still apply.

It was first made available to the Xbox system in November 2002.

On November 12, 2009, Dennis Durkin, COO of Microsoft's interactive entertainment business, announced that November 10, 2009, the release of Call of Duty: Modern Warfare 2 marked the busiest day ever on Xbox Live, with over two million active users simultaneously.

On the same day, Larry Hyrb, Xbox Live's Major Nelson, announced on his blog that Xbox Live support for the original Xbox would be discontinued on April 15, 2010, including online play through backwards compatibility on the Xbox 360 and all downloadable content for original Xbox games.

The packaging for playable Xbox Live titles on the original Xbox console featured the trademark gold bar underneath the Xbox header.

Tom Clancy's Splinter Cell and Brute Force sported a Live "bubble" design, as they only featured downloadable content.

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