I agree, they’re currently locked in a negative spiral, the share needs to be higher to be stable, otherwise maintaining compatibility will not be a high enough priority for web developers. 8% on desktop means 3-4% on all platforms and less in selected markets.
To regain market share they need to be the unambiguously better browser. I thought there was a really solid path to do that with their parallelising efforts, in particular a fully parallel layout engine in combination with their other work would have meant drastically improved UI speeds, notably on Android, but elsewhere as well, it would have eliminated a lot of development difficulty and allowed a much more native-equivalent level of performance. That would have made a good basis for an embedded engine to compete with electron.
That path seems to have been closed off with the Servo team being fired. I’m not sure where Mozilla is going now, it’s not enough to tread water.