A community is not something you can “migrate”. You are not migrating a community, you are migrating a community space and in doing so, you are alienating said community. If you are unwilling to provide a safe space for said community, the community will either find new space or take their space back.
I definitely think Microsoft is going to abandon Xbox because I think the see the writing on the wall in so far as why they are in this market. I think there will always be a place for dedicated gaming hardware like the PS5, but I think it will become more of a niche purchase as time goes on and I think Microsoft does too. I think they don’t like the numbers they are predicting for future console sales, but they do like the ones they are predicting for cloud gaming, since, in theory, anything with a screen and an internet connection could be a console these days. I have no clue if it will pay off for them (personally I hope not), but as technology gets better, the more space for people to settle throughout the wide spectrum of compute power. Microsoft I think wants to try to fill as much of the space as possible.
Just as a final note, that is a touch on my more personal opinion. I hope cloud computing is seriously considered as a huge source of the carbon footprint of the world with how much power it consumes.