MS's problem is that they rely on OEMs to "complete the vision". Except the vision of OEM is to cut as many corners as possible and get it out the door ASAP for as low price as possible.
The solution is for MS to start creating their own line of phones/tablets/PCs. I don't mind paying more for quality products.
Especially in the tablet and phone category, I doubt there should be any anti-competitive issues since MS is essentially the underdog there.
Buying Nokia might not be a bad start.