Even with the rise in the cloud processing, Microsoft is not counting out the idea of an Xbox Two. Microsoft Studios boss Phil Spencer recently tweeted that he believes the idea of another Xbox console isn't that far-fetched.
"I think local compute will be important for a long time," said Spencer when asked if the Xbox One is the last Microsoft console as we currently define them.
"You can look at mobile, connected to faster networks, more cloud services, but local power still increases each gen," added Spencer. "Bandwidth caps clearly an issue, still believe [hardware and software engineers] working together will find local [hardware] scenarios critical."
We don't currently know how long this console cycle will be, but publishers are hoping for shorter cycles, not longer ones.