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I too can see MS doing an Xbox OS rather than gambling on hardware. They could release new updates to the OS along with new controllers if need be. The only issue is, people running the Xbox OS would have to meet certain system requirements which sounds easy but once you realize 40 some odd percent of people still use Windows XP, we have a problem. The way technology is going, most PCs in the future and most of them now even, can run Xbox One games because of course...they were made on a computer.

However, the Xbox OS might be a barrier of entry for many gamers and might hurt the brand. Trying to support a PC OS and console unit would pose as a possibility. But that's the thing, there's just so much possibility with Microsoft, I don't know where they're going to go next with Xbox. And not in a hater manner but in a wondrous manner.