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Will Symantec sue Microsoft this time?

Microsoft Windows AntiSpyware software is flagging Symantec anti-virus program as spyware (password-stealing trojan) and prompting users to delete it. User running Symantec Antivirus (SAV) Corporate Edition or Symantec Client Security (SCS) are impacted by this issue.

When Microsoft announced plans to enter the software-security market last year, a news report said Symantec was complaining to the EU about Microsoft, specifically concerning possible bundling of security software with Windows. However, Symantec announced that they won't compete by complaining to antitrust regulators or suing Microsoft.

However, the recent "Microsoft deleting Symantec" episode may force Symantec to rethink its strategy.

First, Windows Defender will be a part of upcoming Microsoft Vista and clearly compete with Symantec products. Second, Microsoft Windows Onecare Live subscription charges ($49.95 a year) are certainly lower than offered by Symantec.

Microsoft may soon release a fix for the mess it has created but Symantec won't just wait and watch - after all, they risk loosing customers to Microsoft.

Technical Reason: The issue involves a Windows AntiSpyware Beta 1 signature (5805, 5807) which incorrectly identified a registry key affecting these Symantec Antivirus products as belonging to a password stealing malware known as PWS.Bancos.A.