that is true.  but the current iteration of XBOX One with S and then Scorpio. with most of the games are released with PC.  Games would be compatible with older gen but wouldn't run fast enough with the latest gen console.  It is like having an older PC which the specs state that the game would run it but only at a minimum level.  

this would help also XBox to get revenue from hardware sales if there would be a new console every 3-4 years.  

As others have pointed out. I think it will be every 4 years.

Shorter the cycle, the better.

I do not think Scorpio is going to do well. They will see how it does. Making a console every 3yrs sounds expensive. . Moreover the upgrade needs to be worthy. If there is not enough demand for it then it is a waste.

Even more of a reason to go Nintendo, PlayStation, PC

After hearing about Microsoft strategy, why would anyone plonk down the money for a Scorpio and not just bite the bullet and go all out on a pc instead, no marketing bullshit no faux 4K, no gimped system, cheaper game, free online play, any controller you want, access to hundreds of thousand of pc games day one, it's a no brainer.

Xbox is redundant.

Thats the confusion. Microsoft never stated a true reason for the scorpios existence. It seems to just be an answer for Sony in power since they cannot answer to Sony with games. Sony wanted to make the PS4 Pro to stop Sony gamers from jumping ship to PC. if Microsoft hypothetically were to do the same (or having the same reasoning since they followed sony) it would be a contradiction to their Xbox/PC play anywhere initiative.

The 360 had a long time of support because it sold well. You bring this up a lot, this supposed "Sony 10 year support cycle" as if Sony pioneered it. Nintendo supported more than one console for over a decade well before Sony ever did. And not only that, Sony themselves have shown that when the money isn't there, they will in fact not support a system for over a decade. See: PS Vita :)

The Xbone is getting crushed by PS4 in sales but its selling just fine in its own. THAT is why people don't need to worry about support drying up, nothing to do Sony unfortunately.

Scorpio deffenitely seemed like a reaction to PS4 Pro I doubt it would have ever been made if Sony did not start the mid-cycle, which is fine, but it doesn't make the Xbox redundant, they just react to whats happeneing in the market. And if it becomes a 4 year cycle will depend on the success of the devices and so far since the PS4 Pro is doing pretty amazing I wouldn't be suprised to see Sony repeat that success and Xbox to follow once again.

I think its fine by the way, let them release upgrades every 4 years especially if old consoles are still supported with Game Pass casual gamers will be better provided for then ever

If Joachim Kempin wouldnt have opened his mouth, you might have a point, but he did. He noted before he left Microsoft that they were after Sony hence why they rushed the 360 (in a reactioary manner to  beat Sony by a year to market). Since then everything has seemed to coincide with what hes stated, including the scorpio. 

Nintendo turns profit on their consoles even if they dont gain marketshare. They dont take the risk. Sony needs the ten year profitability plan which they ushered into the industry (hence the longer gens) because they take risk with bringing in new formats and need time to profit. Last gen it took then literally four years to reach it. Good thing for the ten year profitability plan. Microsoft followed Sony and havent you noticed that much like how the PS3 is still getting support, havent you noticed that the 360 has continued to be supported after twelve years? Microsoft is following Sony  around the barn yard. Microsoft is smart not to attack Sony with games and attack them where they have the best chance and that is hardware. You should've seen them scramble to fix the clock speed of the xbox one after they heard Sony's launch specs in feburary of 2014. Its clear as day that they react to what Sony does. 

I have no problem with the Xbox Scorpio, but I am confused by the initiative, thats all. I've admitted that Sony's reasoning for the PS4 Pro is rather stupid. They should just say they want a mid gen iteration of the PS4, instead of beating around the bush. Microsoft reacting to Sony is nothing new. As someone said (in another post), its like that kid who keeps following you around, trying to replicate what you do. I'll enjoy the best of what they have to offer. Hopefully Microsoft manages to make at least one good new IP before the generation ends. All of this talk about new consoles takes away from the real elephant in the room (at Xbox headquarters), which is new exclusive first party IP. Everyone neglected to have that conversation last gen while everyone was distracted by the kinect and then the last two years of the gen Microsoft did not have much to fight back with whilst Sony gradually advance in sales towards the 360 before the end.