My view of Microsoft is that they tried to own the entire market, and the market repudiated them. They were done in by their own greed and Byzantine marketing schemes.
Apple went their own way, with the idea that 'if you build it they will come'. I did- I've been using Macs pretty much exclusively since 1981. I can make my way around a PC, but it's so unpleasant that I go out of my way to avoid it.
It's my considered opinion that Microsoft has irretrievably lost. They're not going to go away, per se, but the consumer market has no use for them anymore.
And that's a good thing.
What do you thing the hardware market will start to look like if everyone adopts Apple's development and marketing model, and will that be a good thing?