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The reason BS had a small advantage in 2007 was because they had the experience in building a tire that could be used over a variety of temp ranges (because of the previously stated location and inability to get over night tires). It appeared that Mich relied on the overnight tires to suit the riders.
Mich won Moto GP for 13 straight years. Given time, they could have turned things around, but they were never given the chance.