Australia Accuses Microsoft of Misleading Consumers With AI-Driven 365 Price Hikes

Australia Accuses Microsoft of Misleading Consumers

Australia's ACCC has sued Microsoft for allegedly misleading 2.7 million users over AI-driven Microsoft 365 price hikes.

The Australian Competition and Consumer Commission (ACCC) filed a lawsuit against Microsoft, accusing the company of misleading customers into paying higher prices for Microsoft 365 subscriptions after bundling them with Copilot, its new artificial intelligence tool.

Regulators say Microsoft failed to clearly disclose that a cheaper "classic" version without Copilot was still available.

Microsoft promoted these upgraded plans, but did not clearly inform users about the cheaper alternative, according to Reuters.

Author's summary: Australia's ACCC sues Microsoft over misleading price hikes.

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Tech Times Tech Times — 2025-10-27