I don't think MS sees a growth for .net at this point
1. Back in .net 6, mere *days* before the final release they yanked a hot reloading feature from the dotnet CLI that is typically used by the massively more popular, but free, VS Code, and making the feature exclusive to flagship VS. To me this spoke of a leadership who didn't care about growing .NET with new developers but only to prop up their old creaky VS $50/mo from their established customer base that is locked in to C# from legacy code. They rolled that mistake back but it was a big warning sign / wake up call for me.
2. Speaking of hot reloading, their much touted hot reloading feature SUCKS. It has nothing on the JS guys. Hot reload is a massive deal. How is Blazor ever going to compete with the JS frameworks with a horrible hot reload story. Not to mention Blazor is way heavier in terms of KB and also is way slower rendering performance to boot. Can you even use tailwindcss with Blazor since the compiler relies on your framework being able to hot reload the css changes?
3. .NET MAUI by all accounts is just a massive disaster at this point.
4. Their latest Teams 2.0 UI rewrite is in *drum roll* react.
I dunno it all just speaks of an underfunded / understaffed group at this point whose top brass doesn't care about them beyond the meager, dwindling, VS pro subscriptions they get from them.