I would like to congratulate MS on this move. The .Net framework can do much more in regards of evangelizing its use to the open source developers and these communities are fundamental as we can see from sourceforge, tigris, berlios, etc.
You could gain more projects if you offer some sort of conversion of cvs/subversion/... repositories and issue trackers like bugzilla/trac/jira... to team system.
That said I try to stay away from TS as I basicly like to have the flexibility of running my own servers... for free, on any OS. I know TS is much more integrated but you can go a long way with a combination of subversion, continuum and track (jira is commercial
so I snob that one too).
Remembering the guy that was talking about the economics behind TS I believe he was (and still is) right on the target market but simply put, there is a too strong competition that is pushing these features to commodity levels (and more things like continuus
integration, code coverage, etc).
I believe that MS should make a low lever TS server that can run on XP and that has certain limitations (on number of developers or concurrent users or limiting just for open source projects like jira) but that can be free with every Visual Studio kit. Why?
Because we must grab as many developers of the other platforms. And with the other camp offering these tools for free we are loosing developers. I believe the .net framework would benefit far more from more developers that develop with it even though TS as
a product might be less profitable (and even that is questionable, as the people would push it to the offices).
Keep up the good work!