In recent months, there have been attempts across the media to get to the bottom of why the Xbox brand has never really succeeded in Japan. It’s clear that there is a cultural disconnect concerning this topic but no-one seems to want to really understand what is happening here.
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Uh, really?
1. It's not portable
2. It doesn't get Japan-only games that the majority of the market wants in home consoles for games that aren't on portable devices.
Mystery solved.
Its a western console
Japan really likes their mobile gaming, a good start would be xcloud but the infrastructure would have to work really well on the go whichi'm not sure how well Japan is covered wifi and what their public speeds would be. Xbox would have to get more niche Japanese games and take advantage like the Switch is doing, and leaving Japanese games' integrity intact which sony is not doing currently.
Japanese customers trust Sony and Nintendo more