Prediction: I believe eventually MS will kill Atom or let development languish. People will complain that "MS is evil" and "look who they were in the past" and so on, but devs will go where the features are. VS Code is one of the finest examples of open source Done Right™, and while it owes something to Atom and Electron, this is pure open source darwinism.
It's easy to do OSS right when your a major cloud OSS vendor who are able to use your billions of profits from hosting OSS to fund a 30+ strong dev team in creating a free "OSS" product.
If that's the definition of doing OSS right, then the only sustainable "free" products that will be done right will come from multi-billion dollar cloud vendors. I do love VS Code tho, just not a fan of seeing most of the generated wealth from OSS being collected by the major cloud vendors, this trend is going to hurt the diversity of the OSS ecosystem as we know it.
Irrespective of the funding model that made it possible, I will say the VS Code team is doing a fantastic work iteratively shipping new features with each release at a super high velocity.
IMO it's a poster child for why most future Desktop Apps will be built using a Hybrid or WebView dev model like Electron where its productivity is unmatched.