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At this point Sony doesn't really have any competition. Microsoft has given up on the console market as a whole. XB1X is their next gen system. Three years down the road when people start asking where the XB2 is, MS will point to the XB1X and say "that's it, that's our competitor to the PS5". This will give them a way to back out of the console business entirely, while being able to deny it publicly. Meanwhile they will continue to fight steam for control of the PC market. I imagine they will do everything they can to dethrone steam, in the same way that they pushed so hard to dethrone Sony in the 360/PS3 era. After all the real money is in "games as a service" nonsense.

I just don't understand why anybody would want to own an XB1 at this point. The library isn't as good as PS4. It isn't portable like the Switch. It doesn't offer freedom like the PC.