Ultimately, Microsoft's inability to do anything new (xbox and Kinect don't count) in the internet age, will be its downfall. Whatever its cash status, how long can Microsoft continue to copy other companies and try to play catch up with others? At the end, all you have will be Microsoft campus after campus packed with dull, overpaid bureaucrats.
How long will people continue to upgrade their operating systems? This practice of getting people to buy expensive new versions of an operating system every couple of years is a scam. Whoever said the web is the new operating system might have been joking the?
BTW, I use Windows Xp and I don't miss anything.