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Probably not. MS has made it's living over the years, from copying other companies.

And I mean everything. Here are some of there latest ideas.

Zune (ipod)
Silverlight (Flash)
Vista (OSX)
Microsoft Spaces (.Mac)

All the way back to the start, anything MS did, you could point to some established market it was trying to overtake. Gaming is no different to them.

The problem, is gaming is different. MS it trying to tackle the hardware, and success is in the software. (odd that a software company doesn't get that).

They have, can, and will be successful in the gaming industry, but Nintendo has the advantage, that all there top games are owned by Nintendo. It will be very hard to overcome that in the next 20-30 years.

Edit: To be more clear, MS is buyng exclusive, and not makeing them. Games like Gears will never be locked up forever my MS. It's only temporary. Halo is theres, but that's about it.