This team went from the defacto class of the NHL to still contender, to behind the top pack to playoff contender..that's just not good enough for a proven winner like Babcock.
This is why I'm inclined to think he stays on for at least a couple more years.
Mike Babcock is an alpha male. And he has an ego. (He wants to be the "biggest swinging **** in the room, any room.") And he believes in "Leaving No Doubt" that you are as good at your job as you'd have people believe you are. And, at this stage in his career, he wants a challenge that's going to push him to learn some new things and become an even better coach and hockey mind and person. And, finally, he believes in being a Good Man and doing The Right Thing and facing things head-on, head held high, "No big deal, I got this, because if I don't got this, well, that's just unacceptable. Because I'm Mike Babcock, and I'd like to think I'm a Good Man." Further, he's coached Lidstrom, and also Datsyuk in Datsyuk's prime, winning a Cup with them.
All of this, taken together, says to me that he's going to want to guide the Wings back to contention and win another Cup with them in two or three years. Heading to Toronto or Pittsburgh would be easy, expected. A lesser coach might do that. A lesser man might do that. Power, money, media fellatio - all tempting. But is that why Mike Babcock's in this business? Not saying he doesn't want those things, but I feel like he'd want that golden ticket to Willy Wonka's factory only after he's "Left No Doubt" and helped coach a team that everyone had written off back to the top of the mountain. That way, there's no "Oh, that Mike Babcock. He's a great coach, sure, but you have to admit he's overrated. He gets Anaheim to Game 7 of the SCF, but he can't get the job done. He realizes this was a miracle run for the Ducks that he's not going to be able to replicate and he jumps ship to perennial contender Detroit. Any coach could've won a couple Cups with those Wings teams, and, actually, he only managed to win one. And those Olympic gold medals? Any person with half a brain could've coached those Canada teams to gold. Then, when things got really hard in Detroit and Lidstrom was nowhere to be found, he jumped ship again. This is a guy who, while certainly brilliant, knows how to pick his spots to enhance his aura. I don't rate him much higher than Dan Bylsma, tbh. If Bylsma had coached those Olympic teams, he'd have one Cup and a couple gold medals, same as Babcock. Scotty Bowman was - and is - a living legend. That's a man who'd really earned the right to pick a role of his choosing in an organization of his choosing. Babcock isn't necessarily the best coach in the league right now, let alone a Scotty Bowman. And no one knows that better than Babcock. That's why he left Detroit instead of sticking it out and trying to prove beyond any doubt that, like some crazy SEAL Ninja Jedi Master, you could dump him in the middle of the ocean and when you get home that night he'll be making love with your woman in your bed, because he's just that damn good."