Wasn't talking just about raw CPU power. As you mentioned, the goal was to make the Xbox One more powerful as an all-singing, all-dancing media hub, a Trojan horse to bring Windows tech into your living room. It was theoretically more powerful in terms of raw feature count, but it lacked focus.Except that's not what MS did in 2013. They launched a weaker console for more money and included a mandatory accessory nobody wanted. The PS4 was definitely the more powerful console out of the gate and was for several years.
As it stands, Sony probably isn't too worried if it can undercut Microsoft's price, even if it's just by $50. It knows that game devs will have to target the lowest common denominator between the PS5 and Series X, and that the differences will often be subtle enough that it'll come down to which one is more affordable. Me, I just wish Sony and Microsoft would offer models without optical drives so that I'm not spending $50-plus on a drive I might never use.