The Australian Competition and Consumer Commission (ACCC) recently filed a lawsuit against Microsoft, accusing the company of misleading approximately 2.7 million Australian personal and household users after integrating the AI assistant Copilot into Microsoft 365 subscription plans on October 31, 2024.

The ACCC stated that Microsoft’s promotion only informed users that they would need to accept the new Copilot-inclusive plan and pay a higher fee, or cancel their subscription. It did not clearly indicate that users could retain the original “Classic Plan” without Copilot. This option was only presented when users started the cancellation process, leading many consumers to upgrade or cancel without full knowledge.

Microsoft responded that it will carefully review the ACCC’s claims, emphasizing that consumer trust and transparency are priorities and that it will cooperate with regulators to ensure all practices comply with legal and ethical standards.

The ACCC is seeking court orders, including fines, injunctions, consumer compensation, and litigation costs. Experts say that if Microsoft is found guilty of misleading behavior, it could face significant fines and set an important precedent for transparency in subscription services and AI promotion globally.

The Australian government recently stated it will not grant copyright exemptions to AI companies, prohibiting the use of local creative works for AI model training without authorization. This position responds to opposition from the creative industries to the Productivity Commission’s proposal, which suggested that allowing AI to perform “text and data mining” could potentially generate up to AUD 116 billion in economic growth.

The government emphasized that copyright protection remains a cornerstone for safeguarding creators’ income and the creative ecosystem. Attorney-General Michelle Rowland noted that while Australia will explore adjustments to AI and copyright laws, it will not currently consider any exemption for AI training. She also revealed a dedicated taskforce has been established to assess AI’s potential impact on the creative industry and economy, seeking to balance innovation with protection of creators’ rights.

Creators and artists welcomed the move, saying it prevents large tech companies from exploiting copyrighted content without compensation. However, some tech companies and industry observers warned it may slow AI development and place Australia at a disadvantage in the global AI competition.

Northern Territory Senator Jacinta Nampijinpa Price recently appeared in the Federal Court in Darwin to defend herself regarding a press release she issued in July 2024.

The press release accused Central Land Council (CLC) CEO Lesley Turner of losing support among colleagues and called for a leadership change to ensure the council could more effectively represent Indigenous community interests.

During two days of cross-examination, Price was questioned by lawyers on whether she had adequately verified the claims in the press release. She denied that the claims were false or maliciously defamatory and emphasized that her statements were based on information and reports available at the time. Turner’s lawyers pointed out that Price had previously sent letters accusing the CLC of not giving her the opportunity to respond during the “Voice to Parliament” debates and questioned whether her actions were contradictory.

The court will examine whether the press release constitutes defamation, whether it is protected under public interest, and whether the senator followed reasonable verification standards. Both parties are expected to make closing submissions next Tuesday, after which the judge will make a ruling.