Microsoft has apologized to its 2.7 million Microsoft 365 customers in Australia and supplied refunds after dealing with authorized motion over the way it dealt with latest subscription modifications linked to its synthetic intelligence (AI) instruments.
On October 27, the Australian Competitors and Shopper Fee (ACCC) launched a case towards the corporate.
The regulator claimed that Microsoft failed to tell customers about cheaper subscription choices when it bundled its Copilot AI assistant into Microsoft 365 Private and Household plans in October, which additionally got here with increased costs.
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In an e mail despatched to affected clients, Microsoft mentioned it had added AI options to reply to demand for superior instruments. Nonetheless, the corporate admitted it “might have been clearer in regards to the availability of a non-AI-enabled providing with subscribers”.
Microsoft said:
Our relationship with our clients is predicated on belief and transparency, and we apologise for falling in need of our requirements.
The corporate outlined two decisions for subscribers. Prospects can proceed utilizing the AI-supported plan, priced between $10 and $12 (AU$16–$18) per 30 days, or transfer to Microsoft 365 Traditional, which prices $7 to $9 (AU$11–$14) month-to-month and doesn’t embrace Copilot.
Those that change to the Traditional model by the top of the 12 months will obtain a refund for the distinction in value, with their first renewal after November 30, 2024, reverting to the Traditional model.
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