>And as for taking the profits and reducing costs to the customer...that simply won't happen. Moving the money toward R&D may happen, but let's just say I doubt that anyone is going to go over MS's books with a fine tooth comb to make sure their extra money goes only into efforts which "benefit customers".


Well, not all of it goes back directly to customers who purchased the software:

Over the next five years Microsoft will donate an estimated $25 million to nonprofit organizations worldwide—half of the company's anticipated software piracy recoveries during the same period.

These donations will help support:

Access to technology for disadvantaged communities
Select academic institutions
Innovation, entrepreneurship, and creativity in the fields of science and technology.

>I don't lock my car doors to prevent overall stealing. I lock my car doors to prevent stealing of _my particular vehicle_ because losing a car can tend to be sort of inconvenient, even with insurance. If a crook really wants my car, he/she is going to get it, regardless of measures...

But as they become more and more advanced, only the most elite of the car theives will be able to steal your car. This is just another step for Software makers doing the same thing as car makers.

>If you owned stock in MS would you not be worried that a possible 25% of developers find the new registration policies (however simple) alarming?

If I owned stock, I'd want teh develoeprs to buy MSDN and use it legally, in which case, I think you can do the clean wipe as many times as you want. I'd also want all the casual copiers to be caughing up the money in order to use the OS legally.