I see no evidence of a force downgrade, you can see in the screenshots that he configured SSL off. If you configure SSL off, your credentials go over the wire in plaintext. Surprise surprise.
Oh. Well then it's a complete non issue. No wonder MS told them off.
I don't see what other response he could have reasonably expected from Microsoft, given that his complaints were about the iOS Exchange connector, and actually had nothing to do with Exchange Server.