I'm not sure about internal cultural reasons why but it seems like Microsoft just sucks at user experience for the most part, which is the key to the walled garden approach to me. I've never used a Microsoft product (other than mayyyybe the Xbox 360?) and thought, wow, this product is awesome and I'd never willingly switch to something else. You know, that feeling you get when you use something like an iPhone or Google products in the 2000s/early 2010s?

well actually MS knows how to create a walled garden, but just enterprise gardens. They fail at consumer gardens because the leadership doesn’t see money there and are quite shortsighted at seeing it too. Eg see how they lost ads, search, browser, mobile. They’re in games because of Windows and later Azure, so, again they look at it through enterprise glasses.