If it was a joke, then it's far more likely that the exact response he wanted was laughter, but he got awkward silence instead.

But I dont think it was meant as a joke at all. If he didnt want to praise Microsoft, he could have left out the line; there was no reason to resort to mockery disguised as praise. Microsoft could not have said, "we wont demo our products unless you say we are best at productivity". Apple holds all the cards.