Leaked Windows 8 ISOs were activated few days ago using the key management service (KMS) server activation method but, yesterday, the servers went down and no further activations were being allowed. The serves are still down but, worse than that can happen. Microsoft can block your Microsoft Account if, you activated the Windows 8 RTM using KMS Server.
The activation of Windows 8 RTM is done through a KMS Server which is located somewhere in the world. While trying to activate, the host computer send its details to the server along with the activation key and thatís what was done in current Windows 8 RTM activation method. Also, the activation would expire after 180 days.
Well, the activation server went down yesterday, since then no one can activate Windows 8 RTM and they would get the following message:
Error: 0xC004F074 The Software Licensing Service reported that the computer could not be activated. No Key Management Service (KMS) could be contacted. Please see the Application Event Log for additional information.
I also activated the Windows 8 Professional RTM SKU using the same method which was being used by everyone. The activated copy of Windows 8 was working fine until the servers went down and so our PC crashed. We got an error message that Windows canít be activated due to server issues and then, the PC restarted and went to repair mode. After repairing, we logged into Windows 8 and then, the blue screen showed the above message and after that, the repair started again and then, we were not able to see the Windows 8 Start Screen. The PC kept going to repair mode and then restart and then repair and so on.
The main risk is the Microsoft can view the account being used on the activated Windows 8 RTM when a user accesses the Windows Store, signs into the Microsoft Account or use some apps. Technically speaking, Microsoft knows everything what we search or download from Store or apps. If, Microsoft comes to know that a specific user or a group of people are using the same KMS Server activation method then, the software giant has the authority to block the Microsoft accounts being used on those PCís.
Rafael Rivera, the author of Windows 8 Secrets and also the administrator of WithinWindows.com also suggested in a Tweet
not to activate the Windows 8 RTM if, one values his/her Microsoft Account.
Since, our crash of Windows 8 RTM PC, we installed the Windows 8 pro again and havenít activated it and the PC is running fine for the last 15 hours except the notification of Windows activation which pops up every three hours. Bottom line
We recommend you to take precautions donít activate using the KMS server activation method for Windows 8 RTM if, you love your Microsoft account and donít want it to be blocked.source:windows8core