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I believe the first impression was very important for xbox to at least try to make a dent in the market.

When your initial launch models have 33% failure rate!
The japanese are so good with quality control after WW2, there was a term giving to their legendary quality: Kaizen — 改善, Japanese for change for the better; the common English term is continuous improvement.
That not going to bold well with the japanese for sure.

Microsoft also money hatting timed-exclusivity jrpgs to their system.
This sends 2 message. i) We are buying into the market.
ii) We want to use this as a delay tactic against the ps3.
Not only do they use money to boss their way to the market but also trying to piss on consumers to even thinking of buying the ps3.

Well the japanese just send them an "f" you and the console died shortly after.