Check your network traffic if you can. I read somewhere that the telemetry bypasses/ignores the hosts file and needs blocking at the router. I've no way to verify that though as I don't have 10 installed and I've removed as much of the backported telemetry stuff in Win7/8.
That's a really good point, especially to check the difference before and after applying some changes. jadedog - if you would have trouble with this, I can guide you to some extent about what you need to do in Wireshark (great and free program to check network traffic) to test it. This article is a rather concise description, but if you would need some help than feel free to ask me. Although I think that it could better serve people if it would be kept open. Plus I would be really surprised if I would be the only one who can help (or provide best direction for that matter) ;).Check your network traffic if you can. I read somewhere that the telemetry bypasses/ignores the hosts file and needs blocking at the router.