from an article on c/net:
When coloring in 800,000 pixels on a map of India, Microsoft colored eight of them a different shade of green to represent the disputed Kashmiri territory. The difference in greens meant Kashmir was shown as non-Indian, and the product was promptly banned in India. Microsoft was left to recall all 200,000 copies of the offending Windows 95 operating system software to try and heal the diplomatic wounds.
but that's not all:
The software giant managed to further offend the Saudis by creating another game in which Muslim warriors turned churches into mosques. That game was also withdrawn.
Microsoft has also managed to upset women and entire countries. A Spanish-language version of Windows XP, destined for Latin American markets, asked users to select their gender between "not specified," "male" or "bitch," because of an unfortunate error in translation.
talk about lost in translation;)