[safety1st]

You don't need to lock down a console and prevent "unauthorized software installs" to prevent cheating. You do what game developers have been doing on PCs for years: validate all of the player's actions on the server, look for players with suspicious patterns of activity then ban them.

[kube-system]

Behavior analysis is one approach used on PC games, and it has varying degrees of success. There are weaknesses to this approach and it tends to be a cat-and-mouse game of cheat developers adding fuzzing and anti-cheat developers adjusting their behavior analysis. Visit forums for games that use this kind of anti-cheat and you'll see people complaining about cheaters.

More popular games have shifted towards anti-cheat systems that run at ring zero and prevent you from playing the game unless it is happy with everything running on your system.