He wanted to created an environment, an Operating System, and this was the sequence he seemed to be after. It's worth debating with the audience about the right sequencing. We also ought to tell them that he never managed to get a kernel, he didn't know how powerful Open Source could be. He thought it could be his DIY project, though he himself said Software cannot be owned by anyone. Let's not sound too critical of stallman on the 4th slide, the audience might lose interest.