They dont exactly install spyware so to speak, but some will negate to find certain programs as 'Spyware' when actually they are. That way they can not get blammed for installing spayware, but can appologise that their system was not robust enough to find ALL spyware!! (legal loop hole type rubbish)

The user license for the Microsoft Spyware?? Well to download it you need to enter your current 'Valid' User Liscense number (XP CD Code), and if you use one of the many 'Illegal' codes then not only will it not work, but id hazard a guess that windows wont boot properly the next time around either LOL