Well good for Microsoft I guess that Sony dropped the ball. Sony should have made a Series S type of PS5 that was easier to manufacture to get more consoles into people's hands. They didn't have the foresight that Microsoft had though. And it's to Microsoft's advantage. They've made a huge comeback vs last gen. It's great to see!
And even still, I don't know that it would be a bloodbath if Sony was doing a good job of getting supply into customers' hands. The Series consoles have a much better value proposition than the Xbox One. The launch of the Xbox One was an absolute disaster for Microsoft, and even though they had a ton more launch exclusives than the PS4 (which really struggled with content for the first 1-2 years) the Xbox One was just not appealing to most people. And they were never really able to course correct last gen. Things are much different this gen. Microsoft has the more powerful console, they have Game Pass, and the acquisitions they've made have gotten people a lot more interested in the brand than they were last gen. So no, I don't think it would be a bloodbath. Microsoft would have taken market share even if both the PS5 and Series consoles were readily available from the start.
Here's the thing, I don't think it was foresight. It was luck. MS was not trying to make an easy to manufacture system that would be managable during COVID; they neither knew it would happen, nor that it would increase demand from all the bored people staying home. They simply wanted to have both the strongest AND the cheapest console at the same time, so they fragmented things. It was in stark contrast to PS5 "believe in Generations". Well as it turns out, MS made the lucky bet and Sony had to backpedal and begin treating PS4 like a PS5 Series S with its game releases.
Xbox has much better value proposition than last time, yes. But to be honest, I still think Sony could be mopping up if they had stock. Especially coming off Xbox One's reputation. The PS brand is a juggernaut. I remember thinking the PS2 was a bad value when it came out compared to Dreamcast. It still flicked away DC like it was a fly. Because
Playstation. Look at the rabid demand for PS5s even now, and consider they are still making and selling more than the same period for PS4. It still feels like they can't make ANY because that's how little they are scratching the surface of demand.
I'm not even a Sony fanboy, if it were my way all games would be on Xbox because I hate using a PS controller. I didn't even appreciate PS1 and 2 libraries until years later. I'm not injecting my personal feelings or biases here, I have no desire to diminish any accomplishment against Sony. I'm just seeing it for what (I think) it really is.