One of major points of the Innovator's Dilemma is that successful companies improve profitability, margins, and revenue prior to being disrupted, because they l

One of major points of the Innovator's Dilemma is that successful companies improve profitability, margins, and revenue prior to being disrupted, because they lose their smallest, least profitable customers while focusing on and extracting even higher margins from their highest value customers. Things look great right up until the rug comes out from under them. Rather than gradually eroding, Microsoft will continue to make more and more money at higher margins until Linux becomes a viable desktop competitor that PC makers feel comfortable switching to en masse. Then the Windows franchise will lose a huge amount of value very quickly.