Microsoft is being taken to court docket by Australia’s client regulator over the way it launched its AI instrument, Copilot, into Microsoft 365 subscriptions.
The Australian Competitors and Client Fee (ACCC) claimed that the corporate gave deceptive data to customers when it rolled out the function with a value improve.
The ACCC said that round 2.7 million customers have been instructed they’d two selections: settle for the up to date Microsoft 365 plans, which included Copilot and got here with increased prices, or cancel their subscriptions.
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Nevertheless, the regulator argued that this was not the entire image. A 3rd choice, referred to as the “Basic” plan, supplied the unique service with out Copilot at an earlier, lower cost.
As a substitute, folks needed to undergo a number of steps of their accounts to search out the Basic plans. They needed to start the cancellation course of earlier than being proven the choice to change to the cheaper model.
The alleged conduct befell after Microsoft up to date its private and household 365 plans on October 31, 2024. The ACCC stated it started investigating after receiving buyer reviews and noticing discussions on Reddit during which customers shared how one can discover the hidden Basic choice.
In a public assertion, ACCC Chair Gina Cass-Gottlieb stated that Microsoft not noted necessary particulars and didn’t inform subscribers about all their selections upfront.
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