Earlier quoted context omitted.
There was never a right time for Apple to make such a switch. NeXTSTEP predates Linux, and when it was adapted into Mac OS X, Apple couldn't afford a wholesale kernel replacement project on top of everything else, and Linux in the late 1990s was far from being an obviously superior choice. Once they were a few versions in to OS X and solidly established as the most successful UNIX-like OS for consumer PCs, switching…
I agree with all of this. Moreover depending on what Torvalds chooses to do Apple may have ended up with a more expensive XNU in the end which would have been a disaster. Although I think Apple can deal with Torvalds just fine who really knows how that would have played out.
In any case, as others have noted, the timeline here w.r.t nextstep is backwards.