Well, the biggest thing is the removal of DirectSound. Ever since the inception of vista, an XFI is worthless. But back when you had DirectSound technology and drivers specifically designed to run through hardware only instead of the Open_AL crap that must go through windows/microsoft there's really no need for it.
The only thing I can say is play a direct 3d game on XP with an X-Fi (on your new fangled motherboards with good onboard) and then play that same game on XP with on board sound and you'll see why millions of people had the X-Fi. With Open_AL being the only thing rocking now, it simply doesn't matter.
The only reason I still have XP installed is not because some of my old favorite games won't run on W7, it's simply because they sound so fricking awful in Open_Al that is the microsoft's crucifix to direct sound. Just like anything, microsoft had the put their grubby hands on it and make it simply mediocre across the board.
Quite simply, the reason an X-Fi doesn't do much anymore is simply because it can't go around window's very own sound architecture since Vista and beyond.
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