"The reason for this, I'm told, is that the new Windows leadership team are weary of further fragmenting the Windows userbase with new versions of the product. Right now, Windows 10 has around 1 billion users, and Windows 11 has around 400 million users. Introducing a "Windows 12" would further fragment this userbase..."
It sounds like the new leadership has the wrong way of thinking then. The issue isn't with the branding, it's with their over-complicated method of OS and update licensing and distribution. If Apple, Google and Linux can have simple major update branding, so can Microsoft. The issue is they treat their version number as the product name (which worked in the older days when the OS releases were every few years instead of yearly). They just need to follow what their competitors do - the product name should simply be "Windows" or "WindowsOS" and then "Windows 11", "Windows 12", etc. should be the yearly update name. That way all customers move together instead of being fragmented, and that way the only natural minor fragmentation that would occur is the update delay some enterprises choose to do. They also caused this Windows 10/11 fragmentation themselves by imposing that unnecessary spec requirement, not because of the branding.