At a time when PCs and software were steadily becoming more complex, the PalmPilot turned the model on its head by limiting itself to a few functions, which it did very well. It is amazing that the emblem of the Information Age, the Windows PC, is so fault-ridden, confusing, and frustrating to use. I design computers for a living, but I still find my Windows PC crashing several times a week and doing weird things that I don't understand. I shudder to think what it is like for nontechnologists. The computer industry is mostly to blame for this failure.
Consumers also deserve some of the blame.
An analogy can be made with airline service. Everyone complains about airline food and tightly packed seats. However, it has been shown time and time again that people buy the lowest priced tickets. They aren't willing to pay slightly more for better service. Windows-based PCs are inexpensive, and that's why people buy them.