It makes sense for Microsoft to support Linux though…

They tried their hardest to kill Linux under Steve Ballmer but now they're moving (or in reality have moved) to a model where Xbox and cloud are their main income-generating industries. The former is unrelated to Windows/Linux and the latter is frankly more dependant on Linux than it is on Windows - Microsoft have been supportive of Linux through Azure for years now and it doesn't exactly make sense for them to be developing two different operating systems, so it's not far fetched to imagine they'll drop DOS NT as a backend for windows entirely in the future and move to a Linux backend, with Windows just being a closed source DM with tracking etc added on.

This covers embrace & extend, but I don't think the extinguish part makes sense - sure they may add features the FOSS community disagree with, but at worst we're in a similar position to where we are now with things being released separately for Linux and Windows