Microsoft Faces Legal Action in Australia Over Copilot Subscription Changes
- The Australian Competition and Consumer Commission (ACCC) is suing Microsoft for allegedly misleading customers about subscription options.
- Microsoft reportedly forced its AI assistant, Copilot, into Microsoft 365 plans with higher prices, affecting approximately 2.7 million customers.
- A cheaper “Classic” plan option was only revealed during the cancellation process, which the ACCC claims was deliberately obscured.
- The investigation began after consumer complaints and Reddit discussions highlighted the hidden Classic option.
- ACCC seeks penalties, injunctions, declarations, consumer redress, and costs from Microsoft.
Australia’s competition regulator has accused Microsoft of misleading millions of subscribers by not prominently displaying a cheaper subscription alternative when integrating Copilot into their plans with increased pricing.
This legal action underscores the importance of transparency in subscription services to ensure consumers can make informed decisions without hidden steps or options being concealed until cancellation processes are initiated. (Source)
