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BFR said:

Here's a thought....Assuming GTA6 releases later this year, isn't that a killer app for both PS5 and XB X/S?

In other words, shouldn't the release of that one game translate into a huge increase in sales of both systems?

Lastly, how does MS benefit by releasing "XB next" in 2026/2027?  It's not like there will be an optimized version of GTA6 that is much different from the one already being sold.

If MS does release its next console in 26/27, what will be its killer app, Halo?  Because it will not be GTA6.

If PS5/SX are running GTA6 at 1080p internal (4k FSR upscaled) 30fps, a new Xbox system running it at 60fps with an image that looks native 4k would in fact be quite the improvement and a massive selling point. Going forward singular huge generational gaps will simply not be a thing outside of Nintendo's next 2 devices. A year or 2 of Xbox having the version of games as developers intended it without massive sacrifices will be quite attractive and good marketing for the brand.

If the next Xbox is late 2026, I can see it's killer apps being new Halo, Fable, Gears, Elderscrolls etc... Not just that but all games that begin to truly make use of UE5. 

There is no way MS directly competes with playstation, so really their goal is just to carve out niches around it. Series S as the cheapest entry point, Series X as an equal to PS5, New Xbox as a jumpstart into the next generation and eventually being next gens equivalent of Series S. I suspect the next system will be very customisable and draw a lot from the PC space and then they'll be another core update 4-5 years after that.