Hmm. The Mandriva blog post does show some signs of focus. For instance (emphasis in original):
From a desktop point of view, Mandriva intends to be the BEST KDE DISTRIBUTION IN THE WORLD : easy to use, stable, rich featured and with excellent localization.I take this to mean they've given up on producing a Gnome desktop to compete with Ubuntu's.
My guess is that they plan to make their income in two markets, education and servers. Doing a teacher-friendly easy-to-manage setup for schools may well get them support contracts with some education departments. Their plans to revamp their server offerings may well be an attempt to keep their existing customers; I don't see them taking server sales away from RHEL etc.
As someone who buys the Mandriva PowerPack edition precisely for the KDE desktop, I'm happy about these plans. But I'll be closely following the Mageia fork as well ...
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