They're stopping the purchase of desktops and laptops en masse.
I see you're drinking the media kool-aid.
Not stopping the purchase, don't NEED to purchase, the old gear works TOO WELL.
Tablets are new and the first gen of tablets were slow and crappy like the original Nook, Kindle, iPad the first.
Phones were the same way, old slow crappy phones and crappy hardware with incomplete features now easily replaced with sleek fast feature rich gear that will last for years. The problem there being that phone software only has about an 18 month update cycle so if you plan to keep it awhile, getting a Nexus phone (unless you're an iFreak) is your best option unless you want to get into rooting phones, uploading mods from 3rd parties and other ugliness I'd prefer to avoid.
New tablets are fast and much improved, people are buying them en masse as gifts because of the price point and upgrades because the old ones suck. Got my wife a new Nexus because her original Nook which was bleeding edge a mere 2 years ago stunk even rooted, it was useless and nothing worked on it. She, like many others, were dumping those old Nooks and Kindles, my sis-in-law is on her 5th kindle and still uses a desktop/laptop machine for all her real work.
We also bought the grandkids and my daughter all tablets for Xmas but guess what, they already have laptops and desktops and STILL USE THEM!
Desktop machines mostly stopped needing to be upgraded every other year in a similar manner about 5-7 years ago when the hardware (dual and quad core CPUs) finally outpaced the software and did so in such a major way that my gear survived 3 Windows updates and the quad core CPU with 8GB RAM didn't slow down a bit. However, the mother board finally fried this year so I had to replace it and my new machine is actually a tad slower than the 5+ year old overclocked game machine I replaced. Based on that fact alone, this machine is good for 5-7 years minimum, 10 possible.
The point being of course sales slowed because the desktop product, much like American cars, is now capable of lasting about 10 years without being replaced!
I'm also about to replace my 5+ year old 10" Netbook with a new touchscreen 15" laptop just because it, unlike the desktop, was slow to start with and has become excruciatingly slow compared to it's current counterparts. Why suffer? The netbook must go. It's still quite good for browsing but a Windows security update can bring it to it's knees for about an hour or so, longer if it's a big update.
Of course none of this has anything to really do with MSFT as they're a software company, not a hardware company, and they can provide software and services to any platform whether it's desktop, laptop, tablet or phone, and whether they focus strictly on Windows and ignore the mass market of iOS and Android is the real question. Microsoft may find out they have to stop with the "Windows only" mentality in order to recapture the consumer market.
Either allowing consumers of desktop/laptop products to get rid of Metro on the desktop of Win 8 or alternatively INTEGRATE it properly would be a good start in making peace with consumers along with giving us that stupid start menu button back which is so idiotic it makes me wonder why it didn't happen a month after Win 8 shipped and the backlash never stopped.
Why MS is losing the consumer market is all wrapped up in the start button and the Metro interface, nothing more, nothing less. If you refuse to listen to your customers they'll simply find someone that supplies the product they want.
In my case, Ubuntu to the rescue!