Don't know what I think about this scenario anymore, to me if MS could fix this without dumping the entire auto elevated signed apps thing then they should do it, purely on the basis that it would calm the panic (regardless if the panic is legit or not).. and would avoid the usual zillion articles of how 7 sucks more than xp now because of the this one thing..
But I get the feeling they are in a corner a bit, they would probably want to fix it purely to avoid the confusion, but its likely that they can't fix it because stopping 'dll injection' would damage 'legit scenarios'.. this or its far too late in the dev cycle to make this kinda change given the amount of app testing that would need to be done.
It doesn't suck more than XP. It sucks in the same way as XP.
I think Microsoft (and some people on here) are playing a short game. While the people calling BS are playing the long game.
In Microsoft's short game they know full well that an admin-user account with UAC enabled fully has holes and they cannot fix them in Windows 7, so what is the point in UAC? They're thus turning it off, presenting even more holes.
The long game is to leave UAC on, have users getting used to it, have programs getting used to it and look at removing admin-user accounts entirely in the future. They also need to look at what rights user-user processes have in order to avoid some common hyjack escalations scenarios.