Groklaw: Microsoft's Calling Home Problem: It's a Matter of Informed Consent
"Lauren Weinstein broke the story on his blog. Microsoft has now put out a statement, asserting that the Windows Genuine Advantage tool is not spyware, that they're going to change it some, and that one thing that distinguishes it from spyware is that they get consent before installing it. I question the accuracy of the statement.
"David Berlind did a fabulous job of discovering that in fact the tool has two parts, one of which is new, the Notification part, as you can see in his helpful series of screenshots. First, he explains how the applications actually work. His research indicated to him that Microsoft asks permission for only one of the two, but the wrong one...."