Just when I was starting to think Microsoft had turned a new corner. Can't say I'm surprised. But definitely a little disappointed. I guess it's just part of their corporate identity.
Note the system was so perverse managers would, if they could, store up genuinely low performing employees precisely so that they had ones they could sacrifice.
Some people / companies believe that the only way to get ahead is by screwing someone else over; either out of some money, or out of a job, or what have you. That's just a shitty way to do business, and a clear sign of lack of respect or appreciation.
But then again it might be a scale thing with them and a matter of acquisitions and such too, as you said.
+1 for staying small; or at least growing slowly and carefully. Companies that just spam hire are likely not thinking about how they'll support any given hire for the next few years let alone the rest of their lives.