For a brief amount of time Linux did rule a small segment of the Linux Industry, the Netbooks. ASUS, ACER, MSI and many others had a favour of their netbook in the market sporting an Intel Atom processor and running one of their own customised versions of Linux.
I love the Linux desktop, but facts are facts. Linux only holds a niche of the greater desktop market. Part of the reason is Microsoft's monopoly, but it's not just the Evil Empire that's kept Linux down -- Linux has done a lot of self-damage.