Too little too late.
Their console is already too compromised from their earlier miss-direction. Underpowered (ESRAM etc), over gimmicked (mandatory Kinect that ... no one uses) and too expensive. In terms of hardware, they've lost and will never recover. PS4 is more powerful and cheaper, games will always do more and look better.
But hardware isn't everything. Games also help, however last time I checked Microsoft have buried, lost and crippled most of their great first party studios. So it's all about third party exclusivity, only that's off to a terrible start. Smaller user base, harder development and a track record already off to a bad start. Oh and let's not forget a lot of high profile developers can't actually buy their console in their home country.
So exclusives. I can't see EA, Take Two and Ubisoft agreeing to limit the sale of a big AAA title to less than half the console user-base. Me thinks we will just see shitty promo deals like 'DLC map packs first' etc. Nothing of substance.
They don't need the internal studios to make sequels to their past IPs. Killer Instinct has shown that it's possible to get good results long after the original IP creator (effectively) dies. They need to do a lot more of that really.