I remember a long time ago that Microsoft started to talk about a system that it was developing that would allow console gamers and Pc gamers to compete directly against each other in games like Halo or Call of Duty. I have long wondered what happened to those plans.
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Evidentially Microsoft killed that plan off after the PC gamers dominated console gamers so thoroughly that MS feared it would be an embarrassment to the Xbox franchise. This is all according to Rahul Sood from Voodoo Pc.
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Sood claims that each time that PC gamers squared off against console gamers the PC boys won. That would be embarrassing, but not as embarrassing as having your reason for canceling something as cool as that feature outed.