Microsoft didn't choose to release an Android product. They inherited this project from Nokia. Releasing this phone did not keep Windows Phone developers from developing WP apps. While I thought Nokia's Android project was a little odd to begin with, the X2 is not hindering progress of WP in any way in Redmond.
Here's the thing: the X platform was NOT the Android that Nokia was working on. The version of Android Nokia was working on (and will continue to work on) has now been launched as a launcher under the name "Nokia Z launcher" (
https://www.zlauncher.com/). The X platform was a concession to Microsoft.
Let us be clear: Microsoft does NOT lose anything by having forked Android phones. They own Android patents, they don't need Google's permition for anything, and they can lead people into their own services.
Sure, the more tech savvy people that buy a Nokia X will just pick the phone, root it, remove the X platform and install a full Android ROM in it. But the other millions won't. Those will end up using OneDrive, Outlook etc. And that's the point of it.
Microsoft is a SOFTWARE company. That doesn't mean they are an OPERATING SYSTEMS ONLY company.
Microsoft already made more money on Android than on Windows Phone BEFORE the X devices came out. Why shouldn't they keep pursuing that? If in the end some people who use the X platform end up going for Windows Phone, extra points for Microsoft. If not, hey, at least they'll consider keep using Microsoft's services on Android.
You know, there are a lot of people who use Microsoft's services on Android. Actually, I can tell you that 90% of my friends who use Android devices, do NOT use Gmail or Google Drive. They all keep using their Hotmail accounts (outlook) and they all use OneDrive. Because they also have those on their Windows PCs and it just makes sense for them. They have Gmail accounts, sure (I do too). But they only use it for Google Play, really.