I don't particularly look at it as 1% means that the platform is dying.
As Satya mentioned, the goal is to make Windows an experience that you can have not just in mobile by on everything else from PC, to mobile, and to the internet of things. Sure, Windows Mobile represents 1% of the total market share right now, but looking back in history, Macs were at the same situation when Apple was struggling as a company.
We're now reaching the plateau of mobile innovation, and thus it's not virtually impossible to make a dent in this aspect. Remember, Apple exploded when the iPod technology was popularized, which at that time was an extremely exciting time of innovation for the company. What I am saying is that while there may be no hope for Windows Mobile in terms of capturing more than 1% of the market share, let's take a look at what Microsoft is doing to get ahead of the game when the next revolution comes.
And this is where Augmented reality comes into place. I bet you, that in the next 5-10 years, Hololens will be what the iPhone is of today when it terms of the domination in tech. iPhones accounts for 70% of Apple's revenues, and judging by the non-iPhone products they release, it's safe to say that they may possibly not survive the next tech revolution. Apple is nothing more than a fashion accessory which people eventually will get tired of. Apple Watch bombed, Macs maybe on the rise, but slowly, and iPads are actually decreasing in sales.
This will leave a void in what the next revolution will have. I believe that Hololens will be the future. And it shows that Microsoft has learned their mistakes costing them the opportunity to dominate in the mobile industry. They are now focusing on the next big thing, and I am confident in their confidence that Augmented Reality is the future. Just take a look at the mass hysteria Pok?mon Go has caused in just the first few days of release.
Now imagine people 10 years down the road playing Pok?mon in Hololens. By that time, we're already have been a couple of generations into this device, and most definitely the FOV have been fixed along with vast hardware improvements according to Morse Law.
What I'm saying is that, don't look at Mobile as ends to the means, but Mobile as an experience of something even bigger.
Apple failed at everything else, Google may still be a powerful player with Google Lens, but Microsoft has this is the bag. Hololens will be the device of the future.
This is all in theory, I just hope that Microsoft doesn't screw things up and actually seize the opportunity to the best they can.