I'll connect the dots that I have in my mind if you're following along. One thing to remember when I come up with my predictions is that you need to look at MS as a whole corporation, and they have their hands in a variety of things. Under Satya's leadership the synergy between departments has never been higher and we're seeing a dramatic change in how MS is attempting to penetrate and monetize their markets.
Rumours of a disc-less SKU continue to crop up and this is a critical rumour to Microsoft strategy and I'll explain why. Today most devices sold are laptops and mobile devices, and laptops replacing the need for a desktop as for the most part on the consumer side, laptops have more than sufficient resources to run a variety of consumer hardware. All but one particular area however: console level gaming. To achieve console level gaming you need a gaming laptop that has a ridiculously high price point, or a gaming PC.
If you think about the PC market for a moment, the PC market no longer relies on DVDs for software, all software is purchased through the internet. Thus why few of our laptops contain disc drives anymore.
The biggest issue with Xbox it continues to fight against their competitors for ownership over the living room. In which they have positioned the Xbox to serve the North America markets very well, as we tend to have larger homes and screens here. But everywhere else, like EU and Asia, real estate is a luxury and this device is not well positioned to serve that space because screens are smaller, living rooms are smaller, kinect is a terrible device if you're gaming space is no bigger than a high school desk - who needs Kinect when you're an arms length from the screen. It doesn't even work that close. Kinect was made for large living rooms where people sit an easy 10 ft away from the TV. All the 'big media', 'big screen', type features are no longer as important, and from a consumer price point it just makes more sense to get something with a better price performance point.
So what if MS decided to also fight for your office space. The tiny space where you have a desk, a cheap monitor and a mouse and keyboard. What if you could get a small, effective consumer desktop experience combined with console level gaming. You get your internet browsing, your microsoft office, your music, videos etc, and whatever else you do but you do it on the desktop. Basically whichever applications are developed for Windows Core, they should run on Xbox as well.
Then all of a sudden, a disc-less SKU, combined with their support for VRR and mouse and keyboard is starting to make sense - because you've got this device where at $399 + a monitor is cheaper than a laptop, but it does exactly the same things with so much more gaming capabilitiy and it fits well in a small office space or corner. All they need is the hardware that can support it properly. Perfect for college / dormitory environments, or families of 3-4 trying to live in a 2 bedroom condo.
Thus enter the need for custom CPU architectures. For this to really work, they need the price points to come down as much as possible, but also need the power requirements to come down as much as possible as well. Xbox isn't the only device they plan to deploy this for so the cost of developing this custom chip is divided over a variety of devices and can be binned effectively across the line. And if I'm correct, should come out cheaper because they don't need to keep relicensing different technologies for the different verticals they are trying to support.