Unless you've lived under a rock on another planet for the last 15 years or so, this shouldn't surprise you. If you purchased a Surface Duo or Duo 2 and are feeling like you're being left for dead, then shame on you. Microsoft doesn't need to say anything, their pattern of conduct historically speaks volumes. I've purchased both the Duo and Duo 2 with the mindset that MSFT could very well leave that experiment in the dirt. I use my Duo 2 as my daily driver and am completely fine with it. It's an amazing piece of hardware with software functionality that satisfies my daily requirements.
The larger question is what is Microsoft's end game with Duo and Duo 2? They pulled some of the Duo team to help with the Microsoft/Android project, which one could ask why. Maybe Microsoft realized that when they shipped both Duo and Duo 2, it was the software that was the biggest issues. If you're going to release another variant of the Duo, wouldn't it be worth the extra emphasis on ensuring the software which isn't your native software, runs as smoothly as possible? Also, why even have an Android/Microsoft division if you're not invested in the operation of some duality between a Microsoft Device running Android software? What other devices are made by Microsoft and run Android? I think the Duo was a test bed for an even bigger endeavor, and those who owned one were the test subjects.
I fully expect to see Android running on a device manufactured by Microsoft in the future. Will it be the newest rendition of the Duo lineup, like a single screen folding device that functions like a dual screened device like the Pixel Fold, or will it be something more like what the Surface Neo was designed to be? We won't know until Microsoft provides some information. What I'm pretty confident about is they are pretty invested in integration with Android, and that's not changing anytime soon.