Microsoft Apologizes to Australian Subscribers Over AI Pricing
- Microsoft apologized to its 2.7 million Australian subscribers after a lawsuit from the competition regulator.
- The tech giant admitted it could have been clearer about non-AI subscription options and acknowledged falling short of its standards.
- Subscribers can switch to the Microsoft 365 Classic plan at $7-$9 (AU$11-$14) monthly, with refunds available for those switching by December 31, backdated to November 30, the previous year.
- The Australian Competition and Consumer Commission accused Microsoft of hiding cheaper alternatives when bundling AI features with price hikes.
Microsoft has offered refunds to customers who opt for the cheaper Classic plan by the end of next year, addressing concerns over transparency in pricing tiers between AI-enabled and non-AI plans.
This move follows legal action and aims to restore trust by providing clear choices between AI and non-AI subscriptions.Source
