It\'s all a matter of opinion, really. There are over a million satisfied Xbox owners that don\'t see to realize any of the stuff you\'re arguing.. probably because they bought more than 2 Xbox games and had fun with every purchase.
Everybody has preferences, you can\'t please everybody with everything..
This explains why everybody rips on Nintendo, who is (combined)_ the most talented set of developers in the video game industry.. IMO. You don\'t like their particular style of game.. that\'s okay. But like Microsoft with their edgy, flashier games.. not everybody\'s going to like any particular product.
As for MS, I agree.. they\'ve made some big mistakes. What do I think they\'ve done wrong?
A. Being very superficial with Japanese gamers.
They had developers set up specifically to cater to Japanese gamers. How would you feel if somebody said this:
Oh.. those Japanese people.. they\'ll buy anything quirky! That\'s basically what Microsoft said when they had "MS Japan" set up. The only Xbox games that sold decently in Japan were from Japanese developers.. but not MS Japan.

Tecmo and Sega, my friends.. Tecmo and Sega.
B. Being very superficial with US gamers.
Well, more like "feeding on the mainstream". Microsoft\'s formula to success is "graphics and gameplay".. but unfortunately, at least half of the games they\'ve had available for the system lack solid gameplay. They have a lead on the GameCube in the US based almost totally on a small graphical advantage.. and PR bull***t! MS has enough cockiness to share some with Nintendo and Sony, too. They say they\'ve "talked with hardcore gamers" and "built this system for developers". Hardcore gamers told you to make this POS controller? I doubt it!
More like Seamus Blackley and his 3-year mission to make the most frustrating FPS game ever (that being Jurassic Park:Trespasser) even more frustrating with tougher controllers! Blah, I\'m almost rambling at this point.
Let\'s just say that they\'re superficial, trying to construct games using "formulas".
GOOD GRAPHICS + SEXY/BADASS/EDGY CHARACTERS + A CONTROLLER THAT ONLY LUCIFER COULD HAVE DESIGNED + A VCR-SIZED CONSOLE THAT DOESN\'T ALLOW YOU TO "HIT THE METAL" EASILY = BEST CONSOLE EVER!