If Michelin could produce a tire that lasted 10x as long, they probably could not sell it for 10x the price. They probably can't increase their market share by 10x either to make up for it. So while making such a tire might still be a winner for them, it isn't crystal clear.
It would be a more obvious good deal for a smaller tire maker who has more market share to gain. But they're less capable of sustaining a huge R&D budget. I just hope the solution isn't that expensive.
Yes, it depends on how much better the tire is (2x, 10x), but I still think this argument doesn't make sense. If Michelin don't use the technology, then another company might discover the secret tire and produce it and wipe out the competition in the industry.
From Michelin's perspective they would have a golden goose of a product and would want to exploit that for as much profit as possible...
Also, they're not just going to gain market share they would literally be the market-leaders in a new industry of long-lasting tires...
Michelin is a premium tire brand, and their prices are on the high end. I just priced out a set of Michelin LTX tires for our SUV and they were $190 each, 70,000 mile warranty.
They have already done something similar in 1950 with radial tires and I think they will do it again if they can (https://en.wikipedia.org/wiki/Radial_tire). Additionally you don't need 10x market share, you just need to go from 3% margin to 30% margin for example with your 10 times better product to make it even.
It would be a more obvious good deal for a smaller tire maker who has more market share to gain. But they're less capable of sustaining a huge R&D budget. I just hope the solution isn't that expensive.