1. Kind of fair, it's better in some ways and worse in others. I would emphasise extensibility (this is after all an emacs thread) so I'd call it worse. You don't seem to dispute that it's a copy (in terms of engine/approach)
2. Same as 1, having read the issues and some of the source I stand by the statement.
3. Ask yourself why else Microsoft would build something
4. Fork it is naive to the point of being dishonest. You cannot outfork something with 10 professional developers, unless you're Stallman doing it full time.
You only disputed some of my points, "most people will download it with spyware", "it will damage existing more truly extensible efforts" seems to be a pretty key ones you haven't disputed. If only those two were true it would be enough for me to dislike it.