Yeah, I think Sony was smart in going with the basics. Microsoft was certainly ambitious, but I think part of that ambition was misguided.
I think all that extra tech just adds an extra layer of complexity for things to go wrong, and when they do, becomes a frustrating experience just to be able to do things. This kind of tech seems to be more of a "want" rather than a "need" that MS has forced on people. And in the end, is it really necessary?