This might also fall foul of Competition Act 2002. (http://www.cci.gov.in/images/media/competition_act/act2002.pdf )
Our students can make a decent income re-selling MSFT's "free" offerings
at/below market price. But are prevented from doing so.
<cite>
(4) Any agreement amongst enterprises or persons at different stages or
levels of
the production chain in different markets, in respect of production,
supply,
distribution, storage, sale or price of, or trade in goods or provision of
services,
including—
(a) tie-in arrangement;
(b) exclusive supply agreement;
(c) exclusive distribution agreement;
(d) refusal to deal;
(e) resale price maintenance,
-- snipped --
(e) "resale price maintenance" includes any agreement to sell goods on
condition that the prices to be charged on the resale by the purchaser
shall be the prices stipulated by the seller unless it is clearly stated
that prices lower than those prices may be charged.
<cite>
Might also qualify as abuse of dominant position since it.
"limits or restricts - (ii) technical or scientific development relating to
goods or services"
and also "predatory pricing"
<cite>
(b) "predatory price" means the sale of goods or provision of services, at
a. price which is below the cost, as may be determined by regulations, of
production of
the goods or provision of services, with a view to reduce competition or
eliminate
the competitors.
</cite>
Complete section on "Prohibition of abuse of dominant position" cited below.
<cite>
Prohibition of abuse of dominant position
Abuse of dominant position
4. 3[(1)No enterprise or group] shall abuse its dominant position.]
(2) There shall be an abuse of dominant position 4[under sub-section (1),
if an
enterprise or a group].—-
(a) directly or indirectly, imposes unfair or discriminatory—
(i) condition in purchase or sale of goods or service; or
(ii) price in purchase or sale (including predatory price) of goods or
service.
Explanation.— For the purposes of this clause, the unfair or discriminatory
condition in purchase or sale of goods or service referred to in sub-clause
(i) and
unfair or discriminatory price in purchase or sale of goods (including
predatory
price) or service referred to in sub-clause (ii) shall not include such
discriminatory
condition or price which may be adopted to meet the competition; or
(b) limits or restricts—
(i) production of goods or provision of services or market therefor; or
(ii) technical or scientific development relating to goods or services to
the prejudice of consumers; or
(c) indulges in practice or practices resulting in denial of market
access 5[in
any manner]; or
(d) makes conclusion of contracts subject to acceptance by other parties
of
supplementary obligations which, by their nature or according to
commercial usage, have no connection with the subject of such contracts;
or
(e) uses its dominant position in one relevant market to enter into, or
protect,
other relevant market.
Explanation.—For the purposes of this section, the expression—
(a) "dominant position" means a position of strength, enjoyed by an
enterprise, in the
relevant market, in India, which enables it to—
(i) operate independently of competitive forces prevailing in the
relevant
market; or
(ii) affect its competitors or consumers or the relevant market in its
favour.
(b) "predatory price" means the sale of goods or provision of services, at
a. price which is below the cost, as may be determined by regulations, of
production of
the goods or provision of services, with a view to reduce competition or
eliminate
the competitors.
</cite>
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