Microsoft Faces $30 Million Per Breach Penalty in Australia Over Misleading Copilot Subscription Practices

Oct 27, 2025 11:07 am CST

Australia's competition watchdog has sued Microsoft for allegedly misleading 2.7 million subscribers about Microsoft 365 options. The company is accused of hiding the existence of lower-priced "Classic" plans without Copilot integration, instead presenting customers with only expensive upgrades or cancellation. Each breach could result in penalties exceeding US$30 million as regulators seek consumer redress and injunctions.