Microsoft Blogger Andre Vrignaud who works at Microsofts game division share his thoughts about Sony combining Xfire with their own online service.
"What we end up with is a bit of a mishmash of online accounts, logins, and services. For example, now when I play a PS3 title I simply can't depend on having a single Friends list. Sony will manage the 'master' list, which should have presence in every PS3 title, and Xfire will be a plugin that some publishers integrate into some games. This means gamers can't depend on finding their friends in one place (if the game even supports Xfire)...
Another challenge is that Xfire is now effectively middleware-and that's not free. Had Sony purchased and integrated Xfire into their SDK I could see the effective cost of integration being 'free' to publishers. Now, unfortunately, each and every publisher has to look at their budget and decide whether adding a second online service/friends list/presence is worth it. I have no idea what Xfire's licensing costs are, but whatever it is, it's not free-Sony lost that opportunity. And that means publishers have to decide whether to spend extra dollars, effort, and time in an era when game costs are already spiraling higher and higher.
Sadly, this appears to be an artifact of Sony's online service being late to the game and likely underwhelming."