Yes, he knew it sounded like "Microsoft," but I think it was more a joke than an attempt to capitalize on their name and reputation. It may be a lame joke, but he is 17. He was probably just looking for something catchy. I doubt anyone would ever confuse them. He's not selling software, he designs web graphics. Yes, he did ask for $10,000, but he wasn't serious about that, either. He was just ticked that Microsoft offered him all of $10 to recompense him for the costs of handing over the domain name to them and setting up a new one for himself.