TLDR they can't afford 7.5 Billion dollar purchases and MS makes more on the digital front from Gamepass PC/Console/Mobile.I picked up Xbox GamePass for a $1. I'm sure there are others who jumped at that same offer so trying to equate every GamePass sub to $10 entry fee is misleading. Unless you have access to the data from Xbox that proves different.
Sony needing PS is nothing new. It has been that way for years.
MS has been needing Xbox to be market leader since its inception and so far it hasn't come close to achieving that and the gap is only widening with PS5. They had a good shot when Sony bungled the launched of PS3 but that lead they had not only in terms of sales but marketshare has all but evaporated. Ask Aaron Greenberg, he used to sing the sounds of console sales from the rooftops when the 360 had a gorilla grip on the PS3's balls in the early years of that gen.
Funny how those songs died down as PS began to gain traction.
All businesses want to see a return on investment which is the thing that makes me laugh when people keep throwing around this 'warchest' that Xbox has at its disposal. Xbox is a business, just like PS and no business's going to start throwing around big $$$ if there is no solid business case for the investment. I'm no expert but I'm sure there has to be a balance on expense/profit.
Its not just all about who has most $$$. Simple example would be a star studded football team like PSG. At one point they had the most desirable players in the football world if you look at the overall quality of the team but they struggled to win major honors and only dominated in their home league.
Sure Xbox can afford to buy out studios but that doesn't guarantee success. It's just like how America is perceived vs Japan. One nation is hell bent on brute forcing concepts while the other focuses high efficiency and productivity.
Xbox wants to buy success but it remains to be seen if that will even work for them this time. They are making good moves but by no means does it guarantee anything.
There's one good thing coming out of all this though. A hungry Xbox makes for a ruthless PS and we've seen that during PS3/Xbox 360's tenure. Competition is not good, its great. That gen taught me one thing though. Underestimate PS at your peril.
BTW I don't view your original post as triggering people. Have no idea how this is a thing since we're on a forum where we discuss things be it agreeing or disagreeing with each other. It's all just good banter in the end.