Priorities changed significantly under the new (two years now) CEO though. Under Ballmer there were a bunch of individual businesses that were doing things on their own.
Nadella threw all of that out. He restructured the entire company so that every product supports 3 pillar products: Windows, Azure, and Office. He specifically said that Xbox first-party offerings and Xbox Live would be used to drive consumer preferences of Windows 10.
In other words, the priorities of the Xbox team are to help increase Windows adoption, usage, and revenue. Royalties from third-party sales are less important than the primary goals the CEO laid out for them.
I see if the emphasis is to push windows then the xbox one becomes no longer needed but instead all 1st party games and possible exclusives should be pushed to the windows store to help push windows 10. I can see phil somehow spinning that they are gonna be for the xbox one owners while twisting a knife in their back by moving all development to xbox and pc and then to pc only to support the windows pillar. MWAHAHAHAHA. why am i even discussing this subject so thoroughly when i don't even own an xb1.