Honestly, the insane amount of copium and mental gymnastics evident in people like Jez & Co, would make people like Zalker & Colt Eastwood look almost unbelievably sane in comparison, it's a bizarre sight to behold, all the while making Phil Spencer's statement of "Not wanting to be outdone in price or power" look like absolute meme material, while simultaneously making it evident of how fargone some people, who are too much into their console war fantasies, have gotten. This literally makes it seem like they(Microsoft), don't want to stand behind their statements and promises.
If anything, the logic of choosing to potentially launch a next gen console prior to your competition is flawed on so many different levels, and goes against Microsoft's philosophy of "not to be outdone in... Blah, blah, blah" and all those empty statements they've made initially. So, ok, fine, you've launched your new gen box, because you didn't want to insert an enhanced Series X and torture devs even more, by giving them a third console hardware config to work with and learn to optimise for.
You now have a one year headstart in that scenario. The downside? Your competitor can burst through your wooden defences and put out a faster, more powerful box out the door the following year, that could probably be a more tempting purchase, essentially leaving you at a disadvantage yet again. And that's not even the worst part of it all. What are devs going to use as a baseline, since the PS5 will also be in the way? What are devs going to prioritise? The more powerful console, or the more popular one? The answer is already obvious, they'll prioritise the one with the larger install base, since that's where most of the money is and use that as the baseline. Why go that route, only to have your competitor curb stomp & humiliate you a year later with a more powerful box, potentially at the same price? It literally just doesn't make an ounce of sense to me. It goes against even their own train of thought.
They want to one-up their competitor, only to get one-uped themselves a year later, shooting themselves in the foot in the most outrageous way possible? Wtf even is that logic, where did all the confidence they had in the weeks and months leading up to launch in 2020 go? This is a cautionary tale to never underestimate your competition like Xbox did with PlayStation, simply because they had a Trillion dollar megacorp backing them. Especially since their competition (Sony) has been in that business and perfecting their craft longer than they did and their gaming market share is growing not shrinking.