I don't agree on dev tools too much. Sure, they're good as far as I know but so were the original Xbox's as well (at least I think it was so). It's definitely a good thing but nothing new after all.
As for what comes to JRPGs... They would simply be on PS3 I think. Or actually they could be on the X360 because of its marketshare. Anyway, I don't think it's MS to thank for - JRPGs would exist anyway. Mistwalker is probably the only JRPG thing they're to thank for. Well, I don't know too much about this so I'm not 100% sure.
Competition, however, is something I was sure to see here even before I started reading your post (after reading the title, that is) and I couldn't agree more. It's definitely good.







