The Australian Competition and Consumer Commission (ACCC) has launched a lawsuit against Microsoft, alleging that the company misled approximately 2.7 million Australian customers into purchasing more expensive Microsoft 365 subscription plans.
The ACCC alleges that Microsoft concealed the continued availability of the lower-cost, non-AI “classic” subscription. Consumers were only made aware of this cheaper alternative after they initiated the process to cancel their subscription.
The ACCC filed the legal action against Microsoft Australia Pty Ltd and its US parent company, Microsoft Corp, accusing them of breaching Australian consumer law.
Author's summary: Microsoft sued over misleading subscribers to buy pricey AI plans.