Microsoft has officially announced why Claria was downgraded.

“…In January, Claria filed a request for Microsoft to reevaluate some of its products. Upon review of their software against our criteria, we determined that continued detection of Claria’s products was indeed appropriate. We also decided that adjustments should be made to the classification of Claria software in order to be fair and consistent with how Windows AntiSpyware (Beta) handles similar software from other vendors. At the end of March, we communicated to Claria the result of our analysis through our standard process.

We take software analysis for Windows AntiSpyware (Beta) very seriously and handle all vendor requests in the same manner. All software is reviewed under the same objective criteria, detection policies, and analysis process. Absolutely no exceptions were made for Claria…”

As noted in another post earlier today, the issue does not stop at Claria (also see SpywareWarrior’s post on this today).