>>>It's scary:
>>>
>>>http://internetweek.cmp.com/193300242?cid=rssfeed_pl_inw
>>
>>Yes, that's the article I read as well.
>
>It's a bit oddly worded, and I wonder how well one could argue semantics.
>
>

>"The first user of the software may reassign the license to another device one time. If you
>reassign the license, that other device becomes the "licensed device," reads the license for
>Windows Vista Home Basic, Home Premium, Ultimate, and Business. In other words, once a retail
>copy of Vista is installed on a PC, it can be moved to another system only once.
>

>
>Does the first line only apply to the 'first user'? Does this mean that the second user can reassign it as many times as he/she likes?
>
>Taking the last line, it seems that if I install it on my pc I can move it from that pc only once, but then it becomes installed on the other pc. So then it can be moved from that pc only once... etc.
>
>Where do the above arguments fall apart?

It falls apart in that you are quoting/interpreting the article author's words and not the words in the license.

I'm betting that MS wouldn't even bother mentioning this new portability restriction if it worked as you suggest.