In the thread on this same forum about the next XBOX hardware you have a lot of indications that indicate the opposite of MS going to abandon console hardware.
-You have recently published a multitude of job offers by the XBOX hardware division looking for engineers of all types (electronics, AI, OS...) "for the new line of XBox hardware.
-You have to say that MS recently opened a stand at the GDC open to users and visitors just so they could leave their feedback on what they want the future XBOX hardware to be.
-You have Sarah Bond (president of Xbox hardware) confirming that "development work on the new XBOX hardware has accelerated, which will mean the biggest technological leap in a generation"
-You have to P. Spencer has almost already semi-confirmed an XBOX handheld.
There are plenty of signs telling you that MS isn't done with the hardware. Another thing is the strategy they seek with this one, which, from what is rumored, look like is going to be closer to the open PC platform than to that of a traditional console.