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Its both a bad idea and a good one at the same time.

Bad because developers can get frustrated with it and decide to not take their time on the games to make them great. And therefore you see horrible ports and even horrible exclusives as well.

Good because there will always be one developer that seems to get more out of the console then everyone else. Then other developers will see this and will try and make one better. And that reason alone can help make a console last the 10 years they want.