Unsolicited Copilot Imposition Has Consequences for Microsoft

The Australian regulator reprimands Microsoft for unsolicited addition of Copilot with accompanying price increase to subscriptions. A strategy that Microsoft also applies in the EU.

Since the end of last year, Australian Microsoft users have been pushed towards a Copilot subscription. Australia turned out to be just a test case for Microsoft, which is now rolling out the forced Copilot integration worldwide, including in the EU since early 2025.

This move will not go without consequences for Microsoft. The Australian market regulator announced today that it is filing a case against Microsoft. The software giant allegedly deliberately pushed at least 2.7 million consumers toward a more expensive subscription, while hiding the cheaper Copilot-free alternative.

After the forced integration, prices for a personal 365 subscription rose by 45 percent and by 29 percent for family subscriptions. Microsoft also faces the accusation that it pretends a subscription without Copilot is no longer an option. That still exists, but you have to search for it yourself. Fines for Microsoft could reach up to 50 million Australian dollars, equivalent to about 28 million euros, writes Reuters.

Lesson not Learned

Whether other countries and regions will follow the example of the Australian watchdog remains to be seen. Elsewhere too, Microsoft is trying to expand Copilot’s reach with aggressive techniques. Microsoft is historically known for this, as it previously did with web browsers Internet Explorer and Edge and video conferencing software Teams.

With Copilot, Microsoft clearly has not learned its lesson. Copilot is struggling to distinguish itself from competing chatbots like ‘cousin’ ChatGPT despite integration into the Microsoft ecosystem. Microsoft is therefore making the connection between Copilot and the 365 apps inseparable. It doesn’t seem to stop there, as we also appear unable to escape the AI assistant in Windows.

For those who still have no need for Copilot, there is still a subscription without it. You do have to search carefully for it. In this guide we show how to keep Copilot at bay.

Apologies

The lawsuit now seems to have made Microsoft reconsider. It has sent an email to affected customers in Australia and New Zealand to apologize and adjust the subscription again. “We acknowledge that we could have been clearer in our communication about the full offer, including the option to switch to Microsoft 365 Family Classic,” reads the email also received by The Register.

Microsoft even offers to refund the additional costs of the Copilot subscription. Nevertheless, the Australian prosecutor seems to be continuing his case.

This article originally appeared on October 27 and has been updated with the latest information.