Do I need to download/install Windows update KB971033?

TODAY, you have the option of NOT installing the update ... but I've read rumours to the effect that with SP1, that update will be automatically included.

Just letting you know what I've read ...

madtownidiot said:

I'm thinking the reason that update hasn't already been forced down our throats is because it isn't very accurate.
activation error
activation error
Getting Windows 7 Not Genuine Error Suddenly
Had laptop 9 months, now it is saying Windows 7 not genuine

I think there would be thousands, if not millions of similar stories if and when microsoft made this update mandatory

By MS's own admission, there were millions of false positives with Vista -- and that didn't stop them from continuing the practice with Win7.

If you go to the MS Win7 forums, you will easily find lots of posts about this very problem.

In fact, I had this problem happen to one of my Win7 machines -- and they are all running legit retail licenses.

And who gave Microsoft the permission to make Windows 7 "phone home" every 90 days?

You have to realize that it is their product and you only purchased the right to use it. As with many big companies, the Microsoft business practices are not always with the user in mind but rather with the protection of the business assets. We may not like that, but then we have the choice not to use their products.

rfe777 said:

I'm reading too many stories about Windows users who claim that their OS has been identified by Microsoft as non-genuine/pirated, and therefore they cannot receive any updates,

Couple of points. Many people, myself included, have never experienced a problem with this issue on legitimate copies of Windows. Some people, myself not included, will lie, exaggerate or skew the facts to try to make others look bad. Others, have acquired Windows through non-legit sources...and even though they may have paid....they don't have the real thing and thus experience problems later on. Finally, others will take hacked copies and still post that they are legit and bought it outright in the hopes that somebody in the discussion will be able to other some advice, a hack or some type of workaround to allow them to continue using their non-legit copy. Some people, have been misclassified and experienced a problem and that is truly unfortunate.

rfe777 said:

And who gave Microsoft the permission to make Windows 7 "phone home" every 90 days?

Windows isn't yours. Consumers "should" read the EULA that they agree to when they install and use the product.

madtownidiot said:

MS is or should be liable for every lost minute caused by situations like this. It's going to take me half the day to get it working again and in the meantime, my customer is without his laptop, which his job depends on. My advice to him will be to have a lawyer send the bill to Microsoft.

Playing Devil's Advocate....how do you draw the line with regards to what the consumer did with said product to encounter a problem so severe that the reload or restore was necessary? I agree that the factory restore should in fact work and you should be able to count on that. However, suing Microsoft for each and every minute of your downtime....I just cannot agree with. And if the consumer did something silly or has an infection on their laptop in the MBR...it's quite possible that the Microsoft detection tool is accurately questioning the authenticity of the system.