Developers generally disliked it. It just didn't work well as a game controller.
The Wii was much more practical. You still had a controller in your hand with physical buttons, which makes a big difference, and it worked as a fairly accurate pointing device. Those more than made up for the limitations of accelerometer-only motion control.
In the end, couch coop that was pretty essential to the 360 just kind of withered away in the Xbox One era (when games like Halo competing on looks with other consoles decided they couldn't afford the frames/resolution costs of split-screen coop anyway) and that missing "controller number indicator" no longer mattered in the end, but in the original plans of the Xbox One the hybrid Kinect/controller gaming support was key to things like couch coop.
It's still interesting to wonder about that road not taken if more developers had considered Xbox One hybrid Kinect/controller controls more seriously beyond just the few experiments we did see.
I dunno. I had the original kinect for the Xbox 360 and the controls were wonky. A controller might be weird for a few hours but especially kids should be able to pick it up quickly and then it does exactly what you input, unlike the Kinect. However, I have watched multiple girlfriends struggle with 3D controller input so maybe it's just not for everyone and has nothing to do with kids?
Can confirm, Kinect is dead. You can only get them refurbished now, they’re no longer manufactured. The new consoles no longer support Kinect, we had to dig out an original Xbox One for her.
When the Kinect launched, Microsoft had trouble getting a critical mass of players that would attract developers. Without developers adding support to their games, Microsoft had a hard time marketing the device. This led to them bundling it with the Xbox One, but consumers were upset that they were being forced to buy the accessory.
I’m impressed they held out as long as they did, but eventually Microsoft caved and removed the Kinect from the bundle and dropped the price of the Xbox One. At that point, the Kinect was essentially dead. They quietly stopped manufacturing them and the new consoles no longer support them (though I’ve heard rumors you can buy 3rd party USB adaptors).
It’s a shame. That device is SO much more engaging and approachable for kids than trying to teach them to use a controller.