Criticism of Microsoft price increase

Microsoft has now created a new controversy with the announced increase in subscription prices for Microsoft 365 in some countries. Because it looks like the company is hiding the option that allows you to stay with your old subscription – and that’s pretty bold.

Hidden loophole in Microsoft 365 price increase

Microsoft has significantly increased the prices of its 365 subscriptions for private users in several countries. In New Zealand, for example, the price of Microsoft 365 Personal rose from 129 to 179 New Zealand dollars (around 101 euros) per year – an increase of a whopping 40 percent. There are also similar price jumps in Australia, Malaysia, Singapore, Taiwan and Thailand.

The group’s reasoning: The integration of AI functions such as Copilot into the office programs drives up costs. However, this does not give users unlimited access to the AI features. Instead, there is a monthly credit of 60 credits for copilot actions. If you want more, you also have to take out a Copilot Pro subscription for 37 New Zealand dollars (around 21 euros) per month.

How the loophole works

As the New Zealand consumer magazine Consumer reports, Microsoft is hiding an option for Customers to stay with the old, cheaper tariff. Because you will only see this option if you decide to cancel your subscription. Only those who have clicked the cancellation button will be offered “Microsoft 365 Classic” without a price increase and AI functions.

This possibility is not mentioned in the price increase announcement or in customer information. Microsoft’s approach is therefore met with strong criticism. Consumer advocates speak of a “clear case of a ‘dark pattern’ – a misleading user interface that pushes customers to make unwanted decisions.” Some users even suspect illegal activity and have filed complaints with consumer protection authorities.

Lack of transparency and hidden options

The group’s lack of transparency is causing dissatisfaction. Microsoft does not proactively inform customers about the option to keep the old plan. Instead, existing subscriptions will automatically be transferred to the more expensive new model unless users take action themselves.

Particularly spicy: New customers can also get the cheaper Classic subscription – but only after they have first taken out a subscription at the higher prices. You then also have to “fake” a cancellation in order to see the hidden option. For more information on previous Microsoft 365 price increases, see our November 2024 article.