Australia Sues Microsoft for ‘Tricking’ 2.7M Users Into Paying More for 365

The Australian Competition and Consumer Commission (ACCC) has sued Microsoft for allegedly deceiving 2.7 million customers into paying higher subscription fees by bundling its AI assistant, Copilot, with Microsoft 365 Personal and Family plans. The regulator claims users weren’t clearly told that cheaper “classic” plans were still available. This case adds to Microsoft’s long history of scrutiny over bundling and pricing tactics, echoing past antitrust actions in the U.S. and Europe. If found guilty, Microsoft could face penalties of up to A$50 million per breach or 30% of related turnover.