'Competition is good for the industry' is not 100% true.
Just to clarify, I'm a PlayStation and Nintendo fan.
I've seen a lot of people say 'The sooner Microsoft exits the industry, the better.' and I completely agree. Microsoft have done a lot of things that have not been good for the industry at all. I'll explain that later on. People who say that that MS needs to leave the industry, including myself, have been replied to with this statement: 'No, competition is good for the industry', and maybe a 'your just another fanboy' on top. I'm no fanboy, but I'm a huge fan of PlayStation and Nintendo. There is a bit of a bias (everyone has one) but I'm not letting that bias blind me. I want to explain why that statement is a not completely correct.
First off, you guys are making it sound like Sony and Microsoft or the only ones in this console race. You're forgetting one highly important company. Nintendo! The same company that has some of the most relevant 1st party franchises in gaming. That's not to say something like Uncharted and Halo aren't popular, but you can't deny that Mario is way more popular. Fair enough Nintendo aren't doing so hot right now, but if they have a decent restructuring, they can put the Wii U in the position that the 3DS is in right now.
I've said this before, but bad competitors do not do the industry any good at all. They make it worse. MS has been using the cheapest tactics in the book to make them seem better. Paying 3rd party publishers not to show PS4 games at E3, using high end PCs at E3, raiding the Nintendo Best Buy experience and damage controlling on sites like Reddit. Does that make you a good competitor? No.
You know what I said about MS doing things that aren't good for the industry?
Moneyhats, gimped multiplats, making too many games multiplats, encouraging the over saturation of FPS'. With the Xbox One, they tried to implement DRM and too much of a focus on multimedia (Sony tried it with the PS3, but it in the end, the PS3 has more exclusives than the 360, as the 360 did start focusing too much on multimedia). Yes I know they introduced the online pay wall, but Sony is doing it with the PS4. Fair enough PS+ is a good deal, but it's still a pay wall.
Anyone who was trying to defend MS because of the DRM from day 1 and says what MS was doing is the future is completely wrong. I don't want to require internet to play games. I don't want to be forced to get digitally copies. I want freedom. That's what consoles are for. Give me the choice to sit down wait for a game to download. Give me the choice to go out and buy the physical version of the game. Give me the ability to go offline with digitally downloaded games. Sony and Nintendo seem to understand that. MS don't. Look at CD's. Downloading music off of ITunes has been around for years, but CD's are still around and can be easily found. That simple.
Microsoft are just not good for the industry. I guess with the original Xbox and in some cases the 360 have put Sony and Nintendo where they are today, but they're not needed anymore.