If you somehow haven't played Torchlight, I highly recommend you play Torchlight II (which happens to have excellent co-op). If you don't have a computer, or your rig is somewhat modest, than Torchlight might be worth picking up on the XBLA. Keep in mind it is a single-player game, however.
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Up on this week's Xbox Live Deal of the Week, Major Nelson has informed us that one of the greatest co-op Tower Defense games is marked down. South Park: Let's Go Tower Defense Play has hit the 50% off mark for this week, sitting pretty at $5 (400).
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Ginger kids, old people, underpants gnomes and other general threats are invading South Park Colorado. It's up to Kenny, Stan, Kyle, Cartman and other South Park kids to keep the evil at bay with their snowballs, special abilities, and a variety of defensive towers. We gave this game a co-op whirl, curious to see if South Park: Let's Go Tower Defense Play! is worth an 800 purchase, or if it's best left in the snow.
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Microsoft and the creators of South Park have had a pretty solid relationship. We've seen a ton of content on the Xbox Live Video Marketplace, some for free, for quite some time. Now a new game published by Microsoft and developed by Doublesix has hit Xbox Live Arcade.