Well thats only true if you already told MS that  lets say Jay whose gamertag is  Jay520 who uses the email Jay520@hotmail.com  is the person that bings PORN   is looking for restaurants near  XY street  wants to know when the next bus is arriving at his street  and what not.

Then its free money.  

1. Even if you don't think so, your reward neurotransmitters will likely compel you to search more often than you otherwise would have. It will be costing you time. If you were doing 125 searches/week before you signed up then you're addicted to the internet and that's a different problem.

2. Just because it doesn't cost money doesn't mean it is free. Your data will be sent to third parties which will, especially as this kind of data collection is used more, result in junk mail, cold calling, unwanted sales pitches, a change in what is shown to you on shopping websites. Even if that's just a small risk, 1 dollar/week is not good enough to be worth the chance of that happening.

3. You'll be spending 10 minutes a week checking your points or redeeming something. 10 minutes at US minimum wage is a dollar, right?

Microsoft/Google... what's the difference.

1. True, you probably would spend more time on the internet. However, by 'wasting time' you assume that the time 'wasted' is time that would have otherwise been used to make money. That's likely not the case. It more likely would be substituting time out of their free time, therefore converting their free time to money-generating time. Also, you're making a rather extreme leap by going from "spending more time on the internet" to "being addicted to the internet." That's a huge assimption

2. What leads you to assume that the junkmail/spam from after joining the rewards program will be more frequent than jumkmail/spam before joining the program?

3. More assumptions. Firstly,you're assuming how often people will be checking their points. Secondly, you're assuming that people will use those 10 minutes in place of 10 minutes that they would have used to make money. That's likely not the case. It's likely the time people spend checking points/searching the internet willl substitute time that would have been otherwise been useless.

Do I need to be registered at some sort of satan worshiping cult to earn said points ?

I want free shit too.

Yeah, and msft is basically bribing people to use bing.  It's not going to work though,  as soon as jelly bean for android becomes common, basically every android tablet and smartphone will use chrome, which will automatically direct people to google search..... Instead of a damn bribe, google uses a more subtle method

Yes.  It's called Facebook.

Sickass week!

While my experience with the microsoft rewards team has been anything but stellar while doing their surveys etc you can of course click a DPA box for them not to share your details with third parties, the same one you'll find on pretty much everything and hey if someone said they'd give me a Euro a month towards buying games if I let them know the path that I walked to town for my tea I'd be pretty fine with it, do you think someone from microsoft is going to track down your bing search and send those girls you're watching onlines fathers around to your house to beat you up? :D .... while I'd love to see that, I can't quite picture it happening in the real world

Do not say things that are patently false or that you have no proof there of.

When you setup an account with Microsoft, you can determine how your information is used.  Whether or not your information is shared with third parties, or even if it's used within Microsoft for promotional purposes.

Your search information is not shared unless you allow it to be shared.