It's funny, MS was telling everyone "all of our games are going to be cross-gen for 2 years" Sony on the other hand said "we believe in generations and cross-gen can hold things back" honestly I don't think anyone buying a new console wishes for the new games to be cross-gen, they want them built from the ground up for the new machine, that includes higher detail character models and environments etc.
That being said look at what they've done, MS hasn't really announced many first party games actually coming out in the first 2 years, everything other than Halo seems to just be a CGI trailer right now or an "in engine" trailer like that Rare game that isn't really even a game yet. They both should have just been quiet about it, there are always a few cross-gen games at launch (mostly from 3rd party) and as time goes on that stops happening, for some reason they both decided to make big announcements and neither one did them any favors.
I think most people would have understood that if Horizon is coming out within the first year of the PS5 that it'll be cross-gen, it's a big franchise and you don't want to exclude tens of millions of potential customers, that's why those kinds of games should be saved for later but Sony had to go and talk big in a negative way about cross-gen and now they'll have to deal with the questions they are going to get. It doesn't look like Demon's Souls, Ratchet and Clank and god of war are cross gen but still they should have just kept quiet, nobody forced them to say anything.
They've both tried to be too cute with the lead up to this launch and it's stupid, holding out on announcing prices when most of us knew what they were going to be for a couple of months and we all knew November would be the month they launch because it always is etc. I'm just glad it's all out in the open now and we can focus on when the machines come out and what we get to play on them when they do.