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Microsoft doesnt design their OS's for exploits.

I'm not so sure about that.

MSNBC.com — FBI urges extra caution with XP bug
Users urged to disable features impacted by security holes:

WASHINGTON, Dec. 21 — The FBI's top cyber-security unit warned consumers and corporations Friday night to take new steps beyond those recommended by Microsoft Corp. to protect against hackers who might try to attack major flaws discovered in the newest version of Windows software.

Additional early coverage:
Salon.com — "FBI urges consumers to protect Windows XP"
MSNBC.com — "XP seen vulnerable; patch issued"
Info Warrior — "Who Needs Hackers? We've Got Microsoft!" (Good rant)
WashingtonPost.com — "Windows Vulnerable to Hack Attacks"
BBC News — "Fix your Windows, says Microsoft"
Incidents.org — "Remote SYSTEM-level UPnP Vulnerability in Windows XP"
The Register — "Feds grill MS on Windows security"
The Register — "MS warns of severe universal plug & play security hole" Note that this is NOT EVEN the first significant UPnP vulnerability:
Neohapsis Archives — " Previous security vulnerabilities in UPnP service"
Microsoft's Response Page — "Microsoft Security Bulletin MS01-054"

August 14th, 2001 — Raw Socket Utilities SocketToMe & SocketLock

July 19th, 2001 — Microsoft Laughs Off Windows XP Security

June 28th, 2001 — I participated in an eight-way telephone conference with Microsoft executives and developers responsible for the forthcoming Windows XP. While the result of the hour-long discussion was disappointing, I learned something important. See the page "Microsoft Does Not Understand Security" for the details.

The source, and more to read...