Having been part of the Windows team before I am a little bit the wrong person to comment fairly about it, but there is no doubt in my mind that the Windows org and collective power behind it is far more capable and veteran than the Xbox org. It is just a reality that lots of people in Windows have been there a LONG time and have made enough mistakes to smell one a mile away, they have been pushed hard by Apple and mobile to adapt and adapted so fast that consumers couldn't handle that much change at once. It is pretty easy to argue that Windows 8 is even from a objective perspective clearly better than Windows 7...it is more stable, has an application publishing platform that is easier for devs to sell their homebrew/indie games on (to potentially hundreds of millions of users if they actually fix the Storefront to be nice), performance is better, some power user tools are better, etc. I personally think the good outweighs the bad. Hopefully Windows 8.1 turns the perception around.
Terry hasn't been able to ship Windows Phone 8 in Japan so I am not very happy with that situation. Windows 8 team is actually doing pretty damn well in Japan right now believe it or not...against tougher and tougher competition.
Then there are other capable execs like Qi Lu who is like the Enter the Dragon dominate the entire team the second he enters the room level of bad ass.
So anyway, whatever happens there are two key things 1) Is the person at top a gamer, 2) If not, do they have kids that are gamers. If either two of these things are true then we will be fine (if the kids are Gaffers then it is even better) If it is Qi Lu, he is definitely more on the brainiac side of the bunch so more like a Bill Gates type guy.