For everyone saying you're dead right on every point, you sure are wrong on several points and mistaken on others. Let's take it from the top:
1) Origin's Method of Installing DLC is Horrible:
First I think everyone is confusing Origin's method for downloading DLC with BioWare's. BioWare making you download every single tiny piece of DLC from their website is terrible.
Since Steam is the favorite, let's compare it with that. You buy DLC on Steam, it updates your base game automatically if its already installed and will be downloaded automatically the next time you install the game if you delete it. With Origin you buy the DLC and you have to install it manually from the "Show Game Details" page. What a hassle right? Well, yes, I suppose for some it could be. Plus it could be more obvious where the DLC shows up to be downloaded. However, say I don't want to install the DLC I've bought? I want to play Borderlands with a friend but he only has the base game with none of the expansions. He has to download 8 GB of game. I have to download 12 GB of game. What if I only want one or two of those packs to be installed?
But there's also the matter of bonuses like soundtracks, wallpapers, art books, and so on. With Steam, to get these relatively tiny files, you have to install the whole game. Guess what is also listed in the "Game Details" window in Origin? That's right, you can download your 10 MB worth of hi-res JPEG's without having to download 10 GB worth of game as well. What if I have limited bandwidth but I want to listen to the Dragon Age: Origins soundtrack? Well, I guess I have to go illegally download it off The Pirate Bay because otherwise I'll have to waste 12 GB worth of bandwidth if I only have access to Steam.
2) Origin's Back Catalog is Lacking:
I'm really surprised I have to be the one to explain this to someone. Valve is an independently owned developer that puts out, if we're lucky, a game a year. EA is a publicly owned, shareholder run company that puts out dozens. That means that Valve will have a much, much, much easier time negotiating with other companies than EA will. Some people may note that Origin has Batman: Arkham City and Saints Row The Third. Even with a hefty amount of speculation I can guarantee you that EA is not making as much money on the sale of those games as Valve does. Why? Because those are games that belong to other publicly traded, shareholder run companies.
It's pretty simple to understand. WB, THQ, Activision, Nintendo, and Ubisoft don't want their games on Origin because it helps a direct competitor. That is, unless they can get an incredibly good deal on it. To get a good deal both companies would have to agree to it. If Ubisoft wants 90% of the sale of Revelations, EA isn't going to accept that. If EA wants 30% of the sale of Revelations, Ubisoft isn't going to accept that because they can already get a better deal with Steam and they won't be helping out someone they see as a direct threat. Valve, for all their quality, do not make most of their money on games any more. They do not compete with Ubisoft.
EA and other publishers have to negotiate a hell of a lot more than Valve does with publishers. It's a slow process and will probably result in a lot of games not being on Origin. But to say this is EA's fault for being the company it is, is completely asinine.
3) Activating Games on Origin
Any EA game published 2009 and later that's also for sale on Origin can be activated, for free, on Origin. So that copy of Alice that's scratched? You don't need to buy it for $5 on Steam, you can activate it for free on Origin.
4) The Price Disparity of Origin and Steam is Terrible
Now I did read about some price discrepancies between countries with Origin. I don't know if these are fixed yet. I can only go by the prices I see though. Let's begin shall we?
Mirror's Edge: Steam price - $20 Origin price - $20
Mass Effect 2: Steam Price - $20 Origin price - $20
Dragon Age Origins: Steam - $20 Origin Price - $20
Medal of Honor: $20 on both
Bad Company 2: $20
Battlefield 2: $20
Dead Space and Dead Space 2: $20
Crysis and Warhead: $20
And so on.
So I guess I'm wondering why you're throwing this as a complaint against Origin specifically? Their prices are the exact same as Steam. Shouldn't this be a complaint against EA and not their digital store? A small difference to some but an important one to make nonetheless. This is not Origin. This is EA. This is an article about Origin. This isn't an article about digital prices. If this is an article about digital prices, then you need to include every single digital service in the world. You're no longer talking about Origin and EA, but THQ, WB, Activision, Nintendo, LucasArts, Valve ($50 for Portal 2 at launch on Steam! Preposterous!), and so on. Everyone charges full retail price at digital right now. Lumping all of this onto Origin and EA seems unfair at best and disingenuous at worst.
Then there's the fact that the clear majority of those $5 games you mention are not the kind of games you imply they are. Many, and I mean many, are downloadable content packs that Steam counts as a game. On the first page of listing, sorted by release date, 20 out of 25 items are DLC packs. The next page is 25 of 25. The next is 25 of 25. The next is 21 of 25. The next is 18 of 25. So in the first 5 pages of the "Under $5 listing" I've already knocked off 109 "games" of the current 583 "Games Under $5." There's also the matter that another huge chunk of these games are things that, to be frank, most people aren't interested in and probably don't even approach 10,000 copies sold. Those 583 Games Under $5 you see Steam proclaim is marketing. Which has its place. That place is not within a serious piece of criticism.
5) EA's Privacy Policy and End User License Agreement is Terrible
I would suggest that everyone who actually got up in arms about this go read Steam's Terms of Service (ToS) and End User License Agreement (EULA). What you find may really surprise you. You'll find the exact same language saying the exact same thing. If you really want to scare yourself go read the ToS and EULA on a copy of Mac OS or Windows. Any service with a client you install on your computer will have the exact language that Origin does. Those controversial sections that EA removed and changed just made their wording even more vague and that makes things worse. Vague legalese is bad. Specific legalese is good. People badgering EA about their EULA... Made. Things. Worse.
Now if you want to argue that these things need to go away entirely I'll be with you. But the fact of the matter is, for the purposes of this article, Origin is no different than Steam when it comes to data mining and gathering.