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It really was a PR disaster but what was the reasons for it?
I looked trough a timeline to see what was really the problem for the shitstorm. 

Always online? We all are always online and want to be very much. Whitout it we are bored as hell. They had sorted out the few cases when you were compleatly outside of civilisation and still wanted to play games.

Preventing piracy? Almost everyone, except the pirates themselves, knows how pirating hurt sellers AND buyers of games. Money is going in the wrong directions not benefitting the talents or the consumers.

Kinect always on? Please, in these times of NSA and cellphones who really believes we are NOT monitored for both commercial and security reasons?

Used games? Maybe a problem, If all went according to MS plans (piracy prevention) maybe the prices of new games would go down and reselling would not be an issue anymore. Anyway, for the USA they had a reasonable sollution.

 

And what was flushed down with all this? - Family sharing - Accesing your games from any Xbox - The possible removal of physical copies. and more.

In the end I think we were set back a couple of years in ease of use and the possibilities of modern technology.

 

 

For the record: I am a Nintendo gamer and Xbox is my least wanted console, I consider it a shooterbox.