If the day comes where I can pop my old Xbox and 360 discs in and play on windows, i'll be pretty stoked

This is a very smart use of the mandatory HSM for Windows 11, and is likely serving as a trial balloon for their new under-the-hood “PC console” anti-cheating resilience. If they can encrypt the games at rest using the HSM* and prevent memory scraping by driver / debug hacks, then they will have successfully replaced most of Xbox with PCs — and with sufficient rigor, should be lined up to enable PC multiplayer crossplay with consoles (grouped by gamepad or mouse/keyboard as usual).

* AMD’s ‘Pluton’ HSM BIOS option is referring to AMD having embedded the Microsoft Xbox Pluton chip’s functionality into silicon, to make clear just how many years ago Microsoft started laying the bricks into this path. https://www.amd.com/content/dam/amd/en/documents/products/pr...

So this is an official emulator? The xbox one is so close to an x86 PC now it must make porting fairly easy at this point. It's just a matter of making the xbox ones emulator run on a wider variety of hardware.