Apples to oranges in my opinion. MS is doing it based on the games that sell well on their system and Sony's -- third party AAA core gaming multiplats. I'm positive that Sony will have a similar push focusing on power during the early years of the PS5.
Nintendo isn't getting AAA third party games and the brand hasn't really been known for providing those types of games for 20 years. Nintendo Switch is doing well because Nintendo focused on what they do well.
MS is seemingly trying to do the same via focusing on being the best console brand to play multiplats when it comes to visuals and new online services and features -- traits that the Xbox brand was popularly known for back in 2001-2013. Doing this will interest the people that currently have Xbox as well as interest some people who have moved away from the brand.
Focusing on your strengths to gain people is smarter than trying to be a jack of all trades when you aren't in the top spot. Microsoft/Xbox will more than likely never be in that top spot but I feel that they can make far more gains by focusing on their strengths instead of trying to please everyone at this point (i.e.: territories that will never be interested in owning an Xbox no matter what the console has in its library).
It would be like Nintendo trying to heavily push AAA 3rd party core gaming support again with the Switch. Most people will never go to Nintendo for that. The Switch is doing well even though it doesn't have these titles because the device matches so well with the system's library thanks to the many years of experience that Nintendo has with making exclusives for their home consoles and their portable consoles. It's what they do well. The Switch perfectly combines that.
I'll just have to agree to disagree (especially about territories not owning an Xbox, yea that'll happen when MS doesn't give two shits about them). Their Scorpio strategy comes off as incredibly stupid and short sighted (retain base vs. attempting to expand) and almost everything they are doing is attempting to cling on to market share instead of having a decent foot hold to expand later on, especially with a new generation.
That MS thinks that staying contained to US/UK 4 years into this gen is a smart idea speaks volumes about what they expect going forward. They haven't made many moves or attempted to do much for the start of next gen and that stuff doesn't happen over night.
It honestly reminds me of something like the GameCube. Good luck just trying to retain a base and play to your strengths when the other two competitors are making moves on everyone.
Hell, even with Scorpio they got one upped by the Pro a year earlier which will definitely have an impact on sales as some potential owners will have jumped on the Pro vs. Scorpio.
Edit: Let's look at this holiday. Sony is gearing up with a plethora of absolutely massive markrting deals in some or gamings biggest IPs. Nintendo has Switch's first holiday season with a game from one of their biggest brands coming off a summer season with some pretty big titles as well. As for MS, the biggest thing of note right now is that they are reasing an enthusiast aimed console and hope that the XB1S can compete with the PS4/Switch.
And maybe​ it's just me, but I see the success of Switch negatively affecting the second place console far more than I do the market leader.