This is mostly fear mongering nonsense. The only thing Microsoft could possibly legally remove is stuff that requires the Microsoft App Store to run. Which is not a lot, and it isn't even games that are in demand at all. It's not legal for them to uninstall anything other than Microsoft stuff. Likewise with the hardware aspect. They cannot touch something like a jailbroken iPhone or rooted Android device. They simply can't. Their EULA doesn't/can't cover stuff like that.
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Does this mean Microsoft can now block uncertified PC or illegally-modified Xbox One and Xbox 360 controllers? Furthermore, Microsoft's EULA doesn't state if it will also disable other counterfeit software, such as cracked versions of Office or Adobe Photoshop, or if it only cares about pirated games.
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The answer to all these questions is emphatically no. It's not possible at all.