If by "given up", you mean still investing more (sometimes far more) into desktop Linux than practically anyone else.
Desktop is simultaneously not a large priority for Red Hat, and even less of a priority for every corporate player that isn't Red Hat.
RH is still doing a lot of work on things like Pipewire, Wayland, Flatpak, Gtk, Gnome, AMD graphics drivers (David Arlie wrote RADV), making the Nvidia graphics drivers situation suck less, Mesa, etc. They were doing nearly all of the Xorg maintenance too and nobody really picked it up after they stopped.
The only company with a comparable level of investment in desktop Linux is maybe Collabora or (to a lesser degree and with a much more restricted focus) Valve
Consumer desktop product. That's a category that nobody competes in. Apple sells hardware that incidentally includes macOS and Microsoft hasn't cared about selling Windows licenses directly to customers for years and their OEM licensing business for consumer devices (i.e. non-Pro licenses) is neat, but it couldn't sustain Windows by itself.
Those are incidental products of the big moneymakers being made up of the same parts, just like Fedora (and most other distros with the modern GNOME stack) exists because of RHEL.
Desktop is simultaneously not a large priority for Red Hat, and even less of a priority for every corporate player that isn't Red Hat.
RH is still doing a lot of work on things like Pipewire, Wayland, Flatpak, Gtk, Gnome, AMD graphics drivers (David Arlie wrote RADV), making the Nvidia graphics drivers situation suck less, Mesa, etc. They were doing nearly all of the Xorg maintenance too and nobody really picked it up after they stopped.
The only company with a comparable level of investment in desktop Linux is maybe Collabora or (to a lesser degree and with a much more restricted focus) Valve