UK regulator investigates whether Microsoft misled personal and family customers
Microsoft 365 Subscription Probe and Customer Impact
Background of the Investigation
LONDON, July 29 (Reuters) - Britain's antitrust regulator said it would investigate Microsoft over whether it misled personal and family customers when marketing subscription plans for its ever-popular Microsoft 365 product, resulting in them overpaying.
Focus on Copilot AI Assistant Addition
The Competition and Markets Authority said on Wednesday the probe would examine Microsoft's addition of its AI assistant Copilot to Microsoft 365 subscriptions. Personal and family customers were initially offered Copilot at no extra cost, but some later faced higher-priced subscriptions when renewing.
Key Information Disclosure
"The investigation will examine whether customers were given key information about the plans and the difference in cost to understand the options available to them before making a decision," the CMA said in a statement.
CMA’s Position on AI Adoption and Transparency
The CMA said while it was supportive of AI adoption across the country, customers always needed clear and timely information.
Microsoft’s Response and Broader Regulatory Context
Microsoft’s Immediate Response
Microsoft did not immediately respond to a request for comment.
Ongoing Global Competition Investigations
Microsoft faces numerous competition investigations globally, targeting its business software, cloud computing and AI partnerships, and the UK's CMA launched a probe into its dominance in business software in May.
International Regulatory Actions
Authorities in Australia and Italy are also investigating Microsoft over the information provided to customers when plans renewed, the CMA noted.
(Reporting by Muvija M, writing by Sarah Young, editing by Sam Tabahriti)