I don't believe that's true. If you have a legitimate related business to use for it, you can most likely use the name no problem. Your very worst case scenario is that microsoft files a complaint with ICANN, and you simply lose the domain, and that's about it. And that's if they were to prevail. I know this because I was sued 4 or 5 times back in the .mobi days for cyber squatting when large banks wanted their .mobi domains, and each time I just simply lost the domain. They never sought any other damages. There is a process they go through with ICANN to file a complaint. If I had a business with the same name of any of the .mobi's I had, I would have been able to keep the names. I really don't think you will have a problem with it whatsoever. If you're worried about it, you could always maybe add a disclaimer on your site that states your're not affiliated with Microsoft or not an official partner. The domain also doesn't exactly match a their trademark. Microsoft would never sue for damages, they would sue for an injunction to stop you from using it, which is about a mill - 1.