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I think there is an opening at least, but I don’t trust MS to do the smart things. I think even without a lot of exclusives or being a lot cheaper than PS6, they could win a lot over by doing the following:
1. Double down on physical media instead of stepping back. They don’t need to be as much in it as 10 years ago, but make sure major releases still come on disc and first party games are actually on the disc.
2. Deliver on disc-to-digital solution.
3. Expand backwards compatibility.
4. Offer full digital ownership (at least for self-published titles and third parties that are interested) meaning consumers can both lent out games, sell them, move them freely around platforms etc. Should be technically possible.
5. Deliver on an open Xbox Helix platform that seemlessly unites your digital library across Xbox and PC.
6. Continue to communicate with consumers and not shareholders like Sony.