The feature set of the XOne isn't something that makes a global product. It's centered around a United States media consumption experience, and it's not that great at that either (no DVR). The European shortcomings are just symptomatic of an inconsistent and misguided product launch. The way people on this forum talk about the XOne, it's as if there is some forgone conclusion that it will succeed and stick around a long long time. It's the same goodwill and benefit of the doubt that the media gave Microsoft in the run up to launch.
The soul of the XOne is getting consumers invested in the paywall ecosystem. That gives Microsoft data and leverage over other content providers. I also keep waiting for an announcement of subsidized contract pricing with cable bundles. Some of that applies to Europe, and some doesn't. But Microsofts bottom line is in the U.S. and that's not a secret. In a vacuum, it would be fine. But PC gaming and the PS4 are aggressively preferable gaming alternatives with larger future upside, and DVR cable boxes provide an unquestionably superior experience for watching anything except live sports.
It's a mediocre product in America, and it's a pointless European and Japanese product. It isn't a big deal, it happens all the time.
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