I don't think they can, even if they want to. The entire system and software was likely built around these policies, and it's either too close to launch to revise it or it can't be removed at all without re-working the entire console. I would say Microsoft shot themselves in the foot on this one, but I think a better analogy would be that they nuked themselves from orbit.
By the way, this is coming from someone who desperately wanted Xbox One to stay in this thing, because I love that controller and Titanfall looks really fun. I was not convinced to switch to Playstation. But Sony came in and just killed it.
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I'm with you... I'm not entirely sold on the Playstation 4. It's definitely starting to catch my heart though. If worse comes to worst, I'll just get the Xbox One for Titanfall and Call of Duty, and the Playstation 4 for Destiny and infamous. If none of my friends are getting the Xbox One, I will just forget about Titanfall and go with PS4. I think I'll start asking around tomorrow.
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You could get Titanfall on PC. That's what I'm thinking of doing if it turns out as good as it looked today.