The main problem for MS remains at the top. Everyone has made salient points about stop trying to follow what others do when they do it better, focus on what you do well and do it better - e.g. Windows. Ultimately none of this means anything because they're still trying to tell people what they want instead of listening to what they want.
If Google owned the Xbox do you think for a second they'd be trying to force the Kinect on people with their upcoming 180? Hell no. They'd have deep sixed the whole thing by now realizing it for the failure it is. But MS, no, they're going to try and ram it down everyone's throat when no one wants the damn thing to begin with. And this sort of mentality and obstinacy carries over to every single thing they do. That's like you sitting down at my bar at I dictate to you what you're going to eat and drink. Not suggest it mind you, but dictate it, and if you don't like it GTFO and go somewhere else!!!
So yeah, this is all sound and fury signifying nothing.
"We choose the right to be who we are. We know the difference between the reality of freedom and the illusion of freedom."