UK regulator investigates whether Microsoft misled personal and family customers

Microsoft Faces Growing Scrutiny Over Copilot Subscription Price Increases – channelnews

Microsoft is facing a UK consumer investigation over whether customers were misled into paying more for Microsoft 365 subscriptions after its Copilot AI assistant was added to the service. The probe follows similar action in Australia, where the ACCC last year launched Federal Court proceedings alleging Microsoft misled around 2.7 million Microsoft 365 customers by failing to disclose cheaper Classic plans without Copilot. Microsoft later apologised for its communications and offered refunds, but the court case remains ongoing. Now in the UK, the Competition and Markets Authority (CMA) is examining whether Microsoft gave Personal and Family subscribers clear and timely information about changes to their plans, renewal prices and cheaper alternatives. Microsoft added Copilot and other AI features to consumer Microsoft 365 subscriptions in January 2025. Existing customers initially received the features without an additional charge but were later automatically moved to more expensive Copilot-equipped plans when their subscriptions renewed. Customers could avoid the increase by switching to a cheaper ‘Classic’ plan without Copilot or cancelling their subscription. However, the CMA is investigating whether those options were communicated clearly enough before renewal. Remaining on the Copilot-equipped plan reportedly cost UK subscribers an additional £25 (A$48) per year. “When a business changes its subscription plans, customers need clear and timely information about their options,” CMA senior director of consumer protection Hayley Fletcher said. “Our investigation will consider whether Microsoft customers were misled and ended up paying more as a result.” Microsoft said consumer trust and transparency were priorities and that it was reviewing the regulator’s claims. “We remain committed to working constructively with the regulator as their inquiry progresses,” a Microsoft spokesperson said. The CMA stressed that the investigation was at an early stage and it had not concluded that Microsoft breached consumer law. The regulator can impose fines of up to 10% of a company’s global revenue if violations are established. Australian and Italian regulators are also examining information provided to Microsoft 365 customers when subscriptions renewed. The investigation comes as Microsoft prepares to launch a Copilot ‘super app’ combining its consumer, workplace, coding and autonomous agent features later this year.

UK Probes Microsoft Over 365 Subscription Plans

The UK’s antitrust regulator has opened an investigation into Microsoft over concerns that customers may have been misled in the marketing of Microsoft 365 subscription plans. The UK Competition and Markets Authority (CMA) said on July 29 that it is investigating whether Microsoft clearly explained subscription options when changes were made to the Microsoft 365 Personal and Microsoft 365 Family plans, including the addition of new features such…

Microsoft 365 Now Contains Ads Selling Copilot AI Slop

Your $130 Microsoft 365 subscription now contains ads asking you to please upgrade to Microsoft 365 Premium so that you can use 'exclusive Copilot features'

UK regulator probes whether Microsoft misled 365 customers over Copilot price rises

Britain’s Competition and Markets Authority has opened an investigation into how Microsoft sold its 365 subscriptions, asking whether the company misled personal and family customers when it raised prices and bundled in its Copilot AI assistant. The CMA announced the probe on 29 July, training its attention on the marketing of the plans rather than […] This story continues at The Next Web

Microsoft faces competition probe over Copilot subscription price hike

Microsoft faces an investigation by the UK's competition watchdog over whether customers were misled when it added features to Microsoft 365 subscriptions and raised prices. The issue dates back to January 2025, when Microsoft added new features, including Copilot, to its consumer package. At renewal, customers were automatically moved onto a more expensive tier containing those features unless they switched plans or canceled altogether. Existin…

British regulator investigates whether Microsoft misled personal and family customers

The probe would examine Microsoft’s addition of its AI assistant to Microsoft 365 subscriptions. Read more at straitstimes.com.