According to emails he wrote whilst not trying to defend a court case, it was very, very important to him the disks could not be distinguished from the real thing even though he knew these were far more risky to import than unprinted CDs, and very important to get as many sales as possible. Court submissions seem to indicate he had another line in Canon CDs which he was quite happy encouraging his partner to continue to sell for $30-40 a pop on eBay...
If you read the original court docs, Microsoft also claim the Dell disks normally supplied only to Dell customers allow Windows to be used without activating, and that an active secondary market exists for the real thing because of that.