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Capcom will not abandon M$ as long as they continue their strong presence in NA and to a dwindling extent, in Others. If FFXIII sells really well on 360 then $quenix will also not abandon M$. However, if they have IU type sales, I dunno what to say.
Back on topic. If they plan on continuing with the same money hungry stance of paying devs left and right for their JRPG's and think they will magically outsell 2 well established local brands, then they might as well give up. IF, however, they think outside the box with a better marketing campaign (jap 360 commercials are horrid), along with investing on several focus groups to understand the market, they may stand a chance to put a dent in Japan.
Humility is what had initially put Sony on top, and in the blink of an eye, they went the "we are the best" route and look how badly they dropped? Humility along with proper marketing CAN make M$ a force to be reckoned with in Japan for the 360.



Make games, not war (that goes for ridiculous fanboys)

I may be the next Maelstorm or not, you be the judge http://videogamesgrow.blogspot.com/  hopefully I can be more of an asset than a fanboy to VGC hehe.