A lot of people started gaming last gen have misconceptions of consoles and game development.
The 7th generation with the Xbox 360, PS3, and Wii, was one of the first to bridge development of console and PC multiplatform titles like no generation before it. It also introduced many features into the console world that hadn't taken their place as standard features in a console, like built in HDD, downloadable XBLA/PSN games, demos, patches, DLC, online gaming, friends lists, achievements/trophies, party chat, built in wireless controller functionality, streaming movie services. Having these features on PS3 just reinforced them as features all future consoles should have.
On top of this, there was a mad dash by publishers and developers to come up with the latest and greatest games, to plant their flag in this new era of more money in gaming, more money spent by consumers, more money spent by developers and publishers to make them, more money going into advertising. What we saw was lots of great games. It could almost be said it was golden age of gaming... almost. Thing is, lots of publishers and developers disappeared last gen. It took lots of money to make all those great games, and not everyone recovered the costs, even for really great games. Even developers and publishers once revered for their past successes found themselves closing up shop. Those that survived the generation didn't exactly escape things unscathed either.
So, don't go comparing this gen and last gen and thinking any one console maker or publisher or developer dropped the ball. It was a regression bound to happen, and one that still is.
Also, Microsoft took a loss last gen on the Xbox 360, lost $1 billion up front to beef up the Xbox 360 and sell it at a loss just to make it more powerful. They're not really in a position this gen to blow more money, not after the billions wasted to date, just on things like $500 million NFL fantasy football app that could have funded countless AAA games and indie titles, or even the $2 billion more on getting Mojang and MineCraft, which in long run was probably a good move for other reasons, but hardly did anything for the Xbox side of things.
Anyhow, if Microsoft didn't squander that money, I'd of rather seen them fund more games with it, not lower the price of the Xbox One X. Besides, $500 for this beast is pricey, sure but like they said, it's a premium product. Seems like a lot, but hardly compares to the $2000 I spent on my 4K OLED. I wouldn't get to upset about it yet. Besides, it'll probably go down in price in time.
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