Sure this has some effect on MS... (Score 0)

At the very least, lowering of morale - execs / long time developers leaving definitely will lead to a good number of people re-thinking their careers @ MS. Living out here near Redmond, our company is getting quite a few resumes from former MS folks - some of these folks have been there for over 1/2 a decade... Some folks that were interviewed are simply leaving coz they think there are better things out there and their 1/2 decade or more spent at MS is making them more valuable outside that at MS and earning them more $$.