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NATO said:

Even more of a reason to go Nintendo, PlayStation, PC

After hearing about Microsoft strategy, why would anyone plonk down the money for a Scorpio and not just bite the bullet and go all out on a pc instead, no marketing bullshit no faux 4K, no gimped system, cheaper game, free online play, any controller you want, access to hundreds of thousand of pc games day one, it's a no brainer.

Xbox is redundant.

Thats the confusion. Microsoft never stated a true reason for the scorpios existence. It seems to just be an answer for Sony in power since they cannot answer to Sony with games. Sony wanted to make the PS4 Pro to stop Sony gamers from jumping ship to PC. if Microsoft hypothetically were to do the same (or having the same reasoning since they followed sony) it would be a contradiction to their Xbox/PC play anywhere initiative.