According to Wikipedia:
"Extinguish: When extensions become a de facto standard because of their dominant market share, they marginalize competitors that do not or cannot support the new extensions."
So if your text editor doesn't support integration with Github and a cloud vendor, or if your repositories don't support integration with an online text editor and a cloud vendor, or if your cloud vendor doesn't support integration with Github and an online text editor, this will affect your market share. I think the end goal is around "developer mindshare" (which, I admit, is a really vague concept), especially in web applications. By assembling all that they have, they can create an experience no one else can, all while leveraging open source tools.
You could also imagine an integration with education (Github student pack, Azure credits, etc). At this point, they could dominate the web app market because no one else can offer such a deep integration across the stack.
I think one of the differences with the "old" EEE would be that instead of intentionally crippling certain features, they are instead focusing on giving the best-in-class experience. If you consider that it's just regular competition and not EEE because of that, that's totally fair. Still, I think that we should still be wary of domination. Competition is what's pushing Microsoft to develop all those wonderful tools, and I fear that with domination they might become complacent and abuse their position.