Microsoft’s Pricey AI Blunder: ACCC Sues Over Misleading Copilot Upgrade
The ACCC is taking Microsoft to court, accusing them of tricking 2.7 million Australians into upgrading to the pricier Microsoft 365 plan with Copilot AI. The catch? Users could have stayed on their existing plan at no extra cost, but Microsoft allegedly kept that option under wraps.
Hot Take:
In a plot twist straight out of a courtroom drama, Microsoft stands accused by the Australian Competition and Consumer Commission (ACCC) of pulling a fast one on 2.7 million Aussies. Allegedly, Microsoft sneakily nudged folks into paying extra for their shiny new AI assistant, Copilot, as if it were the only way to keep their digital ship afloat. It seems like Microsoft might have taken a page from the “How to Mislead Your Customers for Dummies” playbook. Now, they could be facing a costly lesson in transparency!
Key Points:
- ACCC is suing Microsoft for misleading Australian consumers about their Microsoft 365 subscription options.
- Subscribers were allegedly misled into upgrading to a pricier tier with Copilot AI, even though they could stay on their existing plan.
- The price hike for the upgraded plan was 45% for personal users and 29% for family plan subscribers.
- The ACCC claims Microsoft’s actions breach multiple sections of Australian Consumer Law.
- Microsoft is reviewing the ACCC’s claims, emphasizing their commitment to consumer trust and legal compliance.