Kamiya hasn't made a bad game in his entire career. Scalebound wasn't looking so hot, but clearly the game wasn't anywhere near completion, and it was evident by Kamiya's twitter outbursts he wasn't happy in the least with Microsoft, presumably because they kept trotting the game out on stage when it wasn't ready. There is no logical reason to assume the game wouldn't have been good upon completion.
Lionhead, believe it or not, were a very successful studio both commercially and critically, and that includes the Fable series. Even if they didn't want to make Fable Legends, there is so much footage of the game available out there, and it looks pretty damn well put together for a game that was supposed to be a disaster.
But here's the thing, whether or not the games would have turned out good or not, isn't the point.
Microsoft's behaviour in dealing with developers is the point. The cancellations of the Phantom Dust reboot, Scalebound and Fable Legends were all in no small part due to mismanagement and mistreatment by Microsoft. Developers have been vocal about this, so why are some of you content to continue to assume Microsoft isn't in the wrong? I don't understand this mindset. This wilful ignorance that does no one any favours, not even Microsoft, and certainly not you.
I say again, Xbox would be much better of if the community didn't have to contend with such an ardent subset of fans readily awaiting opportunities to defend wrongdoing or poor choices by the platform owners. It is bizarre and counterproductive in equal measure. You only lose out doing it, whereas if you just stopped allowing system wars to blind you and demanded better, the fruits of that endeavour would benefit everyone, including Microsoft themselves.