"According to Australia's consumer watchdog, the tech giant allegedly failed to share that a third option was available pay the same lower price and opt out of the AI, named Copilot, in Microsoft 365. The Australian Competition and Consumer Commission (ACCC) has taken Microsoft to federal court on Monday alleging the company misled approximately 2.7 million Australian personal and family plan customers by failing to disclose the third option when the Microsoft 365 plans had Copilot included from 31 October 2024."
"We allege that Microsoft's two emails to existing subscribers and the blog post were false or misleading as they conveyed that consumers had to accept the more expensive Copilot-integrated plans, and that the only other option was to cancel, the ACCC chair, Gina Cass-Gottlieb, said. We will allege in court that Microsoft deliberately omitted reference to the classic plans in its communications and concealed their existenc"
Microsoft integrated Copilot into Microsoft 365 plans and raised subscription prices, presenting customers with accepting the higher-priced Copilot plans or cancelling. The ACCC alleges that a third option existed: classic plans that preserved existing features and the lower price while opting out of Copilot. The regulator claims customers were not informed of the classic option until they attempted to cancel. The personal plan annual price rose from $109 to $159 (45%); the family plan rose from $139 to $179 (29%). The ACCC has taken Microsoft to federal court alleging false or misleading communications.
Read at www.theguardian.com
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