It seems like they've let go of the ball again. They let go of their original Xbox owners far too quickly, and it looks like they're letting the millions of 360 owners hang out to dry again. Is it company policy to "move on" from a console generation when they feel like they can't grab momentum anymore?
I think that this is precisely why Sony has overtaken them this generation despite having the 1 year lead and the PS3 launch fiasco. They, as a company, don't seem to support their customers for the long term (at least in the gaming side). I think that they should reverse this trend they're making and keep on supporting older consoles if they want to build a better brand image. The PS3 is ahead now simply because of the continued releases of big games (GT6 soon baby) and the continued focus on creation of new IPs.
Next generation, if Microsoft pulls the plug early again, I think that consumers will probably migrate away from them.