The way Microsoft fixes this giant debacle is simple; Announce that you were trolling the world!!!! Then show the real console.
All kidding aside, Microsoft has no walking room. Whoever was in charge of designing this thing was arrogant. The name shows it. One person liked the name Xbox One. Fusion is a name everyone can get with, and you bought the name!!! So why use One? Hmm? What sounds better? "We want an all-in-'One' entertainment system" or "We want a 'fusion' of all the entertainment from every other device in your life into your game console"?
Get rid of the always running Kinect, the internet spot checks, and for Cortana's sake, change the name. I'm 100 percent sure that a nobody like me could have worked this out better than all of Microsoft did in 3 years. My map would have been simple;
Use a combination of 8 gb of DDR3, 32 to 64 mb of eSRAM, throw in 4 gb of GDDR5 ram. Let the OS run on 4GB of the DDR3, direct the rest of the RAM to games at 2.1 to 2.7 tflops (If anyone dares say this isnt cost effect, do your research before you speak. I did. This would have been a cost effective model at $499 at launch). Backwards compatibility because no matter what you say, some games created are worth keeping this generation. Throw in all that TV stuff BUT make sure everything you announce at the reveal is WORLD SUPPORTED because whether you like it or not, Japan and Europe matter over America. Give us that cloud option IF we decided to connect to the internet. 300,000 servers? Great. 4 Xbox's in one when connected? GREAT. IF we decide to do it. Not make us pay in the department of power if we are offline. Make it an incentive to be better than PC/Sony if you can connect to the internet. XBLA games are kept. You merge those games with all your Windows Phone games into one market and make the combined set available on console or tablet/phone. The Box design looks like a VCR, but I'd keep it because let's face it, that thing will vent ALL heat. Give us an upgrade to XBL. Platinum Premium, Gold Standard, and Silver (Something) subscriptions at 90, 50, free price options. Make movie apps available with the free. Free music streaming with the 90. Free XBLA selections of 5 games every 3 months that are playable only when you're online. Massive Indie support. This way, EVERYONE could have been happy. Everyone. MS get's their money, we don't bitch with 15 exclusives within a year launch. We get more power than PC/Sony. Xbox takes over your living room. Apple/Android can never compete. We give money, we take services. Always has to be give and take.
Sorry for the rant guys, but all my hardcore research into this has lead me to believe that MS laid the biggest pig stye on the planet and threw every loyal customer in. Yes. You could have had a billion console sales, but not the way you announced. You could have been the first to make a profit on a console with a billion sales. Nope. Not gonna happen now. Sony is winning by a huge margin and the only reason PC isn't god right now is because of exclusives on consoles part. (Rant Concluded)