Microsoft has effectively given up trying to win the console business, and it's bad news for anyone invested in the Xbox brand — though good for Sony and for players who just want the games.

• Halo launched on the PlayStation 5 in July 2026 and flopped, barely cracking the top 30 of Sony's most-played list.
• Microsoft now sells its games on a rival's hardware instead of fighting for its own, the mindset of a software publisher rather than a platform owner.
• The damage traces back to 2013, when the Xbox One was pitched as a TV box with a mandatory always-on camera, priced $100 above the PlayStation 4, with used games and offline play restricted.
• Sony undercut all of it in minutes at E3 that year, and pre-orders flipped almost overnight; Microsoft reversed the policies a week later but never recovered.
• The lasting lock-in is digital game libraries, which don't move between brands, so most console buyers today are already committed to one ecosystem.

Outlook: Microsoft says its next big titles will stay on Xbox and PC, a small attempt to rebuild the brand, but Sony's lead looks permanent.