Overview
- Microsoft emailed Microsoft 365 Personal and Family subscribers with details of cheaper non‑AI Classic plans and acknowledged it "fell short" in earlier communications.
- Eligible customers who switch to Classic by December 31, 2025 will receive refunds within 30 days for payments made after November 30, 2024.
- Early rollout problems were reported, including broken links and downgrade paths that did not offer the Family Classic plan; Microsoft said some subscribers received incorrect links.
- The ACCC alleges Microsoft misled about 2.7 million Australians by omitting the Classic option in two emails and a blog post tied to Copilot integration and price rises.
- Prices rose in October 2024 to A$159 from A$109 for Personal (about 45%) and to A$179 from A$139 for Family (about 29%), with the ACCC seeking penalties, injunctions, declarations, consumer redress and costs.