Because the attach rate isn't high enough for tablets. As far as I'm aware, even Apple's not making a ton on their app store (I mean, it's profitable, but it's

Because the attach rate isn't high enough for tablets. As far as I'm aware, even Apple's not making a ton on their app store (I mean, it's profitable, but it's a pittance compared to their hardware profits). I don't understand your emphasis on market share. Sure, there are some network effects (more users <-> more developers), but what's the point in losing money to gain market share, especially if you set an anchor on a price point that won't ever make you money? Apple's losing market share to Android, but I doubt that fact keeps them up late at night, because they're making most of the profits anyway. What evidence is there that Surface is losing them any money? Maybe it's not selling as well as they'd hoped, but that doesn't mean it's in the red - maybe it's not selling well because of supply chain issues, or the lack of channels through which they're selling.