I'm not XSeries owner but have played my friend's console for a few times (XSX model) Overall it feels like an upgraded version of XOne to be honest. It's neither bad nor good thing. Just MS wanted to reduce boundaries between generations. It has almost the same XO controller, Windows-style Menu (although it had changes since XO era) and XOne library of games (but there're already many games for only this generation from 2021-2024 e.g. Amnesia: The Bunker, Lords of the Fallen, Jedi: Survivor, Deathloop, so on). XSX seems to be technically upgraded XO which also plays wide range of XS-only generation video games.
I've played almost only 3-party games on it. So, I can't talk a lot about Microsoft exclusive games. I played Forza: Motorsport 8 which is decent and impressive title (maybe the best Xbox title at the moment), also played Ori 2 and Gears 5. I played more Microsoft games on PC: State of Decay 2, Minecraft: Dungeons, Ghostwire: Tokyo. Some Microsoft games are quite good, some are worse. Some of Microsoft games were released on other platforms like Switch (Ori 2 case) or PS5 (Ghostwire: Tokyo case) because of different reasons.
There're a few levels of Xbox subscriptions, and each offers a certain catalogue of games. I don't know anything about community in multiplayer and coop games because I played almost SP games on XS.
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