Ironically, the two men arguably most responsible for the success of the Xbox were strongly opposed to the entire “Manhattan” project at the time.
Eric was instrumental in the DirectX runtime design that Microsoft ended up porting to the original Xbox hardware with shared high level components.
The other guy was Dave Cutler, who led the NT and hypervisor groups at the time. Xbox v1 borrowed heavily from Dave’s work on modular, stable-userspace NT. 360 was basically running a full-fledged NT iirc. Dave, like Eric, hated the Xbox project early on.
In today’s terms, it would be like Facebook deciding to make a search engine or mobile OS, so their reactions were hardly surprising. Word was that even BillG was hesitant, but Ballmer really wanted more product lines.
Eric will be dearly missed.