Second, Why is Microsoft lobbying for non-restrictive purchasing standards bad?
It's very clear to me that this has little to do with weather the competition is FOSS - and more to do if the competition can only be indian made software. Buy $country First laws have long been recognized as anti-competitive, protectionist and generally a cause of increasing acquisition costs.
FOSS of more often then not superior on its merits alone, why does it need a protectionist anti-competitive law to help it compete?