As admirable and pro consumer as the Microsoft "no more generations" approach is, I 100% think it's going to bite them in the ass purely from a narrative angle. Sony is going to hammer the "only possible on PS5" stuff (as they rightfully should if it's true) and it's going to become something that the whole internet will use to beat MS over the head with if their first party games aren't up to the visual fidelity of Sony's first party offerings. Or if that SSD in the PS5 does indeed allow them to do things the XSX can't.
I just saw someone retweet a dev saying "it's time to leave the past limitations behind" or something to that effect in relation to PS5. In my opinion, MS cannot afford to have the "PS5 is a real, actual leap forward while the Series X is just a souped up Xbox One" narrative take hold. Which I'm already seeing console warriors saying. Can't have that become the widespread thought, too.
Just wait...