06/11/2025
You will recall a BLOG I wrote in February this year discussing the price rises for MICROSOFT 365.
At the time, I suggested that the huge increase in price was most likely due to the addition of AI Co Pilot which many of you will not use in the short term.
https://connectmytech.com.au/office-365-prices-are-on-the-increase/
The ACCC have stepped in and ordered Microsoft to provide an option for users to keep 365 but take out the AI option which brings the price down significantly.
If you are a FAMILY PLAN subscriber ( and there are millions of you out there ) You will be receiving an email from Microsoft explaining the Options available to you and if you choose the option without AI, ( Microsoft call this 365 Classic ) you will be entitled to a refund from Microsoft.
The email will look something like this
In October 2024, we announced changes to our Microsoft 365 pricing for subscribers in Australia. We recognise we could have been clearer in our communications about the full range of Microsoft 365 subscription options including the option to switch to Microsoft 365 Family Classic. Our relationship with our customers is based on trust and transparency and we apologise for falling short of our standards.
We want to ensure you have all the information you need to make the choice that’s right for you, so we are sharing that information below, including the opportunity to receive a refund.
Option 1: Stay on Microsoft 365 Family, your current plan
• Microsoft 365 Family includes the core Microsoft 365 apps plus our AI assistant Copilot and ongoing feature updates.
• Microsoft 365 Family renews at $179 AUD per year tax inclusive.
• If you wish to stay on Microsoft 365 Family, no action is needed.
Option 2: Switch to Microsoft 365 Family Classic and receive a refund
• While Microsoft 365 Family Classic includes the core Microsoft 365 apps and regular security updates, it does not include our AI assistant Copilot and may not receive new feature updates.
• Microsoft 365 Family Classic renews at $139 AUD per year tax inclusive, the price you paid before the increase.
• If you want to continue using Microsoft 365 Family Classic after you switch plans, you’ll need to keep recurring billing enabled.
• If you switch to Microsoft 365 Family Classic by 31 December 2025, we’ll refund the difference in price between plans, starting from your first renewal date after 30 November 2024. We’ll process your refund to the payment method you use to subscribe within 30 days. Once the refund has been processed, it will be reflected in your Microsoft account. This refund option is only available to subscribers in Australia who receive this email and switch to the Microsoft 365 Family Classic plan by 31 December 2025
Switch to Classic
Thank you for being a Microsoft 365 subscriber. We’re committed to making this process clear and improving your experience.
