Yes, market share matters. I think he was just trying to tout there other offerings and areas of success (Windows, xbox). As far as Hololens goes, it really is something that the average consumer does not think about when making a decision in which phone or computer to buy. My guess is that by the end of 2016 MS will discontinue their phone platform/hardware. It certainly seems to be what he is saying. Question is what happens to the dual desktop/mobile modes that they have now injected into Windows 10? If the mobile share fails then they have an OS full of unnecessary features. Two email apps, two system preferences, two calendar apps....an entire mobile store with sub-par apps... they will have to revamp windows again. Every time they do this they lose customers. There is something to be said about consistency that garners loyalty. I don't particularly like Apple, but they are consistent and don't make giant changes to their core products every other year.
We shall see...