According to Microsoft-Watch, Microsoft plans to take Esiod Systems (a company created by two ex-microsoft employees) to court. We did some digging and managed to find the full email that Microsoft sent to the owners of Esiod systems. The company itself feels the following:
Microsoft has made an allegation without even reviewing the final software product. It has simply made this allegation based upon a press release which does not impart the technical and business objectives of Schnazzle. No version of Schnazzle has been publically released.
Schnazzle software was developed from scratch without use of Microsoft source code. We are willing to allow a third party expert to review the source code to make an independent determination. We are not willing to divulge our source code to Microsoft.
Schnazzle™ (the product Microsoft has a problem with) is a dashboard which provides convenient and fast access to a networked digital media jukebox, your local weather, your favorite stocks, your common documents, and other sources of information. The dashboard displays a variety of Schnazzicles™, interactive parts providing convenient dashboard access.