Let's be honest here.
Expedition 33 was on game pass and still sold 8 million copies.
SoM was an Xbox/PC/Game Pass exclusive for a year.
It's not a perfect comparison.
1. https://www.mobygames.com/game/240054/south-of-midnight/cred...
I mean, if you're assuming that Microsoft had a fully hands-off approach to managing these companies after buying them, then sure. It's not clear to me that you can make a compelling claim about whether the issues were from the bottom or the top just by looking at the final outputs.