I'm not a MS user other than occasionally when work requires it, haven't really been for many many years. But looking at their stock and profit, I can't say they are doing badly at all.
At some point, especially when your focus is the consumer market, you're not going to be so scrupulous with certain choices where the trade-off is profit vs consumer interests. This is perhaps even much worse in the mobile market thanks to Google, the company that started with such good press and lofty goals.
I'm skeptical that MS isn't going just fine, and I've never been a fan.