On balance, you are distributing software that is copyrighted (nothing you can do about that). The GPL gives users some limited permissions that undo some of the restrictions that come with copyright. Fair use applies to copyrighted material regardless of the license and is not something you can actually restrict with a license. That kind of is the whole point of fair use. So, the GPL, it's (supposed) intentions, and idealism don't factor into the equation here. That's just not how it works.
Sorry to burst your bubble.
It certainly does. That's one big reason why judges often disagree and judges' rulings can often be predicted by which party appointed them.
But the copyleft ideology in particular rarely factors into court cases, because few judges care about it.
I didn't envision that my code would be split into tons of little code snippets and then sold around. Doing so, the spirit of the GPL-isation of my software has been betrayed.
There's also a free flow of information argument. Citing pieces of my code is good for that flow. But MSFT doesn't seek free flow here, it seeks a money-making flow. So I disagree.
I understand your explanation and somehow, it sounds right on the pragmatic level. But on the idealistic level, it sounds wrong :-/
Dunno...