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ACCC sues Microsoft for allegedly misleading millions of Australians with Microsoft 365 subscription hikes
Summary
The Australian Competition & Consumer Commission (ACCC) has commenced legal proceedings against Microsoft Australia and its parent company, Microsoft Corporation, alleging that the company misled approximately 2.7 million Australians about its Microsoft 365 subscriptions.
Quotes
Quote
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.
My thoughts
The ACCC’s decision to pursue Microsoft is a significant move, demonstrating its commitment to regulating how tech giants manage subscriptions and pricing. It appears Microsoft presented users with the impression that upgrading to the more expensive 365 plans with Copilot was the only option, despite the existence of a cheaper alternative.
Sources
https://www.abc.net.au/news/2025-10-27/accc-sues-microsoft-allegedly-misleading-365-subscriptions/105937436