Like... i don't mind. But if they are doing that, it makes no sense to continue on the hardware market.
So, to explain, in product development, your product should always aim to be unique. The uniqueness or diferentiation is what is gonna get the consumer to buy it over the competition.
In consoles, especially the "twins" as they are called; they are the same. What diferentiates them are the exclusives.
When MS put their exclusives on PC, naively thinking that just because its a home hardware piece that people would want it, it was a childish mistake. Sure, that segment may exist, but it does not look to be very big.
As for it beeing better for the consumer... depends on pov. If MS sold more consoles they could afford to invest more on first party software and therefore more titles would be made. Maybe some srudios wouldn't have closed. It's hard to say.