2. "Keeping things patched" works in a world with Apple-like margins and it simply does not in a low-volume, startup-oriented, competitive market. No rules pay for a company to spend $500k a year on a dev team when a product didn't make enough profit - developers cost a ton and make the prices much higher, so these products are not the ones that win in the market.
3. If open standards cannot satisfy #1, then we have to look for other corporate structures, like a "Microsoft + Intel" marriage where hardware can be sold for cheap but the software remains supported by third parties. We see some of this with cloud companies like Alexa, Apple, and Google Home, but it's not really healthy yet, because there are no incentives to do things on the LAN in a secure way, so we are just hiding the costs of servers in other ways.