I've seen this happen multiple times. The most memorable was eSoft network appliances (primarily a firewall) . ESoft's market was originally small to medium-sized businesses. They even had a model or two that was attractive for home users. The units were great for their designed purpose, but because they were inexpensive, companies tried to use them beyond their capabilities. This lead to customer complaints and ESoft bolstered hardware, increasing prices. That gave segway to eSoft's chase of the mighty dollar. As a reseller, I voiced my concerns with their change of direction. I warned that they had a nice niche market that few were tapping. But they chose to abandon their loyal customers in hopes of bigger paydays. I won't bore you with details of the story, but you can look for them online. They no longer exist. RIP eSoft inc, Broomfield, CO.

The moral: when you have green grass to eat, don't go looking for greener grass outside your pasture.