Microsoft has apologized to its 2.7 million Microsoft 365 customers in Australia and provided refunds after going through authorized motion over the way it dealt with current subscription adjustments 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 electronic mail despatched to affected clients, Microsoft mentioned it had added AI options to answer 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 relies on belief and transparency, and we apologise for falling wanting our requirements.
The corporate outlined two selections for subscribers. Prospects can proceed utilizing the AI-supported plan, priced between $10 and $12 (AU$16–$18) per thirty days, or transfer to Microsoft 365 Basic, which prices $7 to $9 (AU$11–$14) month-to-month and doesn’t embody Copilot.
Those that change to the Basic model by the tip of the yr will obtain a refund for the distinction in value, with their first renewal after November 30, 2024, reverting to the Basic model.
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