Microsoft has lost their appeal against the Microsoft Word i4i case, where Microsoft was caught using "custom XML" in their software. The court issued that Microsoft stop selling Microsoft Office 2007 with Word in it.
Microsoft's attempt to appeal the injunction was denied today by the Federal Court and will place a full ban on Microsoft selling Microsoft Office 2007 with the unlicensed code in it. Microsoft issued a press release statement today, discussing the denial of appeal by the Federal Court.
Microsoft has already prepared for this scenario, where they will now ship a new edition of Microsoft Office 2007 without the custom XML in Word. The injunction only applies to copies of Office 2007 with Word sold after January 11, 2010. Microsoft will release an altered version of Office 2007 before January 11, without the custom XML code.
Copies of Office 2007 sold before January 11, 2010 are not affected, and will still contain the custom XML code technology.
Microsoft Office 2010 beta containing Word 2010 does not contain the custom XML code technology and will still be available for download.