It is their platform. Xbox has no legal or even moral obligation to provide services for people who cannot maintain the basic standards of civilized behaviour.
Have you ever talked to a teenager? Also, if you’ve ever used Xbox, you’d know that their moderation at best is bad. People using literal slurs don’t get punished, while dropping an f bomb at no one in particular can get you banned.
That's the problem. They shouldn't be able to own the platform. There should be no platform for them to own to begin with. They shouldn't have the power to ban anyone nor should there be any place to be banned from.
You're gonna speak of moral obligations while defending DRM'd platforms owned by copyright monopolists? You gotta be kidding me.