Switching to a winCE based OS delayed the release by at least a year, which definitely hurt their chances in the market. Not to mention that it probably made whatever internal pressures from phone 7 much worse as well, since the phone 7 project was not nearly as far along when kin might have originally shipped. Huge, classic Microsoft mistake to rewrite the OS based on windows tech.
Yeah, seems like ego got in the way of doing what's best for the product. Microsoft just couldn't live with themselves if they ever shipped a product that wasn't entirely "Invented Here."
