It seems as though another spat between children will ultimately result in more compatibility issues and other brokenness that WebKit was supposed to help prevent. I think it's great that they'll start with removing dead code and reducing the bloat but when that work is done... quirks for everyone!
Gotta wonder how the folks in Oslo are taking this news?
I would think this was good news for Microsoft as an opportunity for those concerned to move away from the newly forming unknown.
I'm surprised you're not calling Google evil for embrace & extend. I have a feeling if MS had done this, you'd be all over them.