To be honest, I'm not competitive enough to have ever thought MS were struggling. If, by the end of this generation, MS have sold 80m units and Sony 120m, I'd consider them both to be phenomenally successful consoles. bearing in mind they are both massively outselling their previous iterations, it's not impossible. MS is doing great and Sony is just doing bonkers. However, sometimes you should just look at your own performance instead of comparing it to others. A company has to be profitable, not the most profitable, to be successful.
As a One owner who will probably get a PS4 somewhere along the line (some of the upcoming exclusives do look really tempting, though those so far have not), I'm just pleased that the narrative seems to have shifted from the One being a failure to one that is now holding it's own. As long as it sells enough for multiplats to appear on it, I'm happy. MS have so much cash that they'll never struggle with exclusives as they can just pay more to compensate for any lower sales.