Australia’s competition regulator sues Microsoft for allegedly misleading 2.7 million customers into paying higher fees for Microsoft 365 with Copilot AI. ACCC claims Microsoft failed to disclose cheaper “classic” plans still available, leading to 45% increase in Personal plan to A$159 and 29% increase in Family plan to A$179.

Microsoft’s communication omitted mention of cheaper plan, only informing customers of price increases at renewal. Company reviewing complaint details as ACCC seeks penalties, redress, and costs. Australian law allows penalties up to A$50 million per breach or 30% of company’s turnover. Final penalty to be determined by court.

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Read more at Nasdaq: Australia Sues Microsoft Over Misleading AI-Linked Price Hikes For 365 Subscriptions