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Ok - now that Season 3 is out, Blizzard seems to have made some improvements that may help the arena system, but I am not sure how much based on the first few days of play. The improvements include:

1. A personal rating system, you have to actually win to get points with the team you are on, no more leaching.
2. You have to obtain a high personal rating to get the best and most noticeable items.
3. Season 1 rewards are now available on the battleground (BG) merchants, and the BG rewards have also been upgraded to help level the playing field a bit outside of arenas.

This is good in theory and will prevent people from getting easy points by leaching, but it still favors the teams that are already heavily geared. I did about 20 matches in the first few days and almost every team had a large amount of full season 3 gear. We outplayed virtually every team we were up against, but we were also outgeared every match, making it difficult to get out of a par rating.

It is too soon to tell if the changes Blizzard has made is actually going to make a difference for teams trying to work their way up from the bottom. Teams that outgear you by two seasons should have their arena point gain/loss skewed by the significant gear difference, regardless of their rating. If you beat a team that outgears you by two seasons, you should get way more points for the win.


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